Recent policies have strengthened the supervision of key industries such as education, Internet and real estate, resulting in a significant decline in market risk appetite. On July 24, the two offices issued the opinions on further reducing the homework burden and after-school training burden of students in the stage of compulsory education. On the same day, the General Administration of market supervision punished Tencent for enjoying the exclusive copyright of online music, and the market’s concern about strong policy supervision in the future intensified.
On the evening of the 26th, China concept education stocks continued to fall, and large Internet enterprises continued to fall.
According to the financial report, an insider of New Oriental Education Group said, “at an internal meeting not long ago, the management of new oriental group already knew that the education and training industry would undergo severe crackdown, and everyone began to talk about the transformation of the company. In the face of the company’s transformation, some people suggested that the company transform into a nursery. At that time, Yu Minhong cried at the internal meeting.
On the evening of the 26th, Dan bin, a private placement boss, issued a document, “I have been in business for 29 years, Dongfang harbor has been established for more than 17 years, and 2021 will be another test! This year, in addition to the positive contribution of US stocks, a shares and Hong Kong stocks are both negative contributions… I only blame myself for my bad performance, introspection… ”
The market began to realize the policy determination of the decision-making level
Liu Chenming commented on Tianfeng strategy that after July 1, many policies have shown signs of acceleration and overweight. To sum up, a series of policy lines are carried out along one context: from “efficiency first” to “giving consideration to fairness”.
In the past 30 years of “efficiency first”, in order to pursue rapid economic development, we sacrificed some environmental problems, tolerated the leverage and debt of real estate and local governments, and tolerated the widening gap between the rich and the poor.
However, in the stage of “giving consideration to fairness”, we should gradually “dismantle mines” or make remedies on some issues, corresponding to carbon neutralization, antitrust, anti-corruption, suppressing the leverage of real estate and local governments, and increasing residents’ disposable income (reducing rigid expenditures such as education, medical treatment and housing); At the same time, we will vigorously support high-end manufacturing (developing strategic emerging industries) and small, medium-sized and micro enterprises (ensuring employment and people’s livelihood).
Although the above policy ideas have long shown signs and are not a one-day trip, the severity of the education policy has made the market aware of the policy determination of the decision-making level.