The field in which the virtual world uses advanced technology to create virtual reality, games and other digital experiences, which is covered in the concept of meta-universe, has recently attracted global attention and become a new investment theme increasingly concerned by investors.

[Jinri Toutiao]

Hang Seng Index launches Hang Seng China dollar Universe Index and Hang Seng Shanghai-Shenzhen-Hong Kong Genome and Oncology Index

As of May 17, 2022, the top five companies with the highest proportion in the China Yuan Universe Index are Tencent (00700), NetEase, Inc-S (09999), Kuaishou Technology-W (01024), Gale shares (002241.SZ) and Sunny Optical Technology (02382). The total proportion of A shares is 49.06%, and that of Hong Kong stocks is 50.94%. The field in which the virtual world uses advanced technology to create virtual reality, games and other digital experiences, which is covered in the concept of meta-universe, has recently attracted global attention and become a new investment theme increasingly concerned by investors.

The top five companies in the Shanghai, Shenzhen and Hong Kong Genomics and Oncology Index are Wuxi Apptec (603259.SH) / (02359), Hengrui Pharmaceutical (600276.SH), CSPC Pharmaceutical (01093), 688180.SH (688180.SH) and Shanghai Fosun Pharmaceutical (600196.SH) / (02196). The total proportion of A shares is 73.61%, while that of Hong Kong stocks is 26.39%.

[general trend]

At the close of trading overnight, the three major indexes closed higher, with the Dow up 1.98%, the S & P 500 up 1.86% and the Nasdaq up 1.59%. The ADR index of Hong Kong stocks fell to close at 20453 on a pro rata basis, down 17.33 points or 0.08 per cent from the close in Hong Kong.

Zhitong comments: the stabilization of the Hang Seng technology stock index is an important reference index to measure the rebound of the Hang Seng Index in the next stage.

[hot spot Prospect]

1. The National standing Committee decided to reduce the purchase tax on some passenger cars by 60 billion yuan in stages. Support rigid and improved housing demand due to urban policies

On the evening of May 23, according to CCTV News, an executive meeting of the State Council was held a few days ago to further deploy a package of measures to stabilize the economy in an effort to get the economy back on track and ensure that it operates within a reasonable range. The meeting decided to implement 33 measures in six areas. Among them, the tax on the purchase of some passenger cars will be reduced by 60 billion yuan in stages.

According to the investigation and introduction of the organization, traditional fuel vehicles mainly benefit greatly, while Geely, Great Wall, Changan and SAIC all benefit obviously. Joint ventures and Volkswagen GM also benefit. Related Hong Kong stocks include Great Wall Motor (02333), Geely Automobile (00175), Beijing Automobile (01958), Guangzhou Automobile Group (02238), Wuling Automobile (00305) and so on.

2. National Health Commission: improve the regular monitoring mechanism, provincial capitals and cities with tens of millions of people to establish a 15-minute walking nucleic acid "sampling circle"

The joint defense and control mechanism of the State Council held a press conference at 3 pm on Monday, May 23. Mi Feng, spokesman for the National Health Commission and deputy director of the propaganda Department, said at the meeting: it is necessary to improve the regular monitoring mechanism. Provincial capitals and cities with tens of millions of people set up a 15-minute walking nucleic acid "sampling circle" to facilitate people to sample nucleic acids nearby. To carry out regular nucleic acid testing, key industries and people to increase the frequency of testing, to improve the ability of early detection.

Shanghai Fosun Pharmaceutical (02196) said in a recent institutional survey that the mobile square cabin laboratory built by the company officially launched testing in March 2022, which is the first mobile square cabin laboratory with three certificates in Shanghai. The fully automatic P2+ nucleic acid testing vehicle of Fosun Beiling, a holding subsidiary, has also landed in Shanghai, providing an integrated automated solution for stop-and-stop inspection and acquisition and inspection.

The stock of wheat is only enough for ten weeks. The global food crisis is approaching.

Sara Menker, CEO of agricultural analysis company Gro Intelligence, recently told a special meeting of the United Nations Security Council that there are only 10 weeks of wheat supply left in the world. She says droughts around the world are reducing wheat resources, and global food supplies are deeply affected by climate change and fertilizer shortages. Menker added that according to estimates from official agencies around the world, global wheat stocks are currently only 33 per cent of annual consumption, while models created by Gro Intelligence suggest that this figure may actually be only nearly 20 per cent, which has not been seen since 2007 and 2008.

Victoria Michal Chuk, a representative of the United Nations Food and Agriculture Organization, said that in the context of fierce fighting, Ukraine would lose control of its territory and would not be able to get 49 per cent of the winter wheat harvest.

The shortage of agricultural products has raised fears of a food crisis. Zheshang Securities released a research report that according to the changes in the supply and demand pattern of agricultural products, the bank believes that the strong order of agricultural prices is: wheat > corn > soybean.

A, Fufeng Group (00546): is an international biological fermentation products company, mainly committed to various amino acids and their derivatives and biological colloid research and development, production and management, is a world-famous monosodium glutamate, xanthan gum, amino acid manufacturers. Fufeng can still pass on the rising cost of corn and coal to the lower reaches.

B, Chinese starch (03838): mainly engaged in corn starch and its related by-products, corn fermentation downstream products such as lysine, starch sugar and so on. The company operates through two business units. The upstream products department is engaged in the production and sales of corn starch and corn deep processing by-products. Fermentation and downstream products Division is engaged in the production and sales of lysine, starch sugar, modified starch and other products.

[individual stocks are sunny]

1. BYD car: 2022 Tang EV 24-hour pre-sale order exceeds 8505

On May 22nd, BYD officially released the pre-sale price of the new Tang EV, which is priced between 28.28 yuan and 342800 yuan, which is divided into three versions: 600km premium version, 730km premium version and 635km four-wheel drive flagship version, and offers six seats / seven seats. BYD officially announced that the 24-hour pre-sale order for 2022 Tang EV has exceeded 8505.

Credit Suisse released a research report that gave BYD shares (01211) a "outperform market" rating with a target price of HK $368. The company upgraded its battery technology to CTB to further integrate the battery into the car body, and the top cover of the battery pack forms the floor of the car body. This integration simplifies the body structure and production process, thereby reducing costs, improving safety and greater vehicle space.

The report said that as BYD's first product using CTB technology, the Seal large sedan sells for 212800 yuan to 289800 yuan and will compete directly with Tesla, Inc. Model3, XPeng Inc. P7 and Feiyue C01. BYD said it had ordered 22637 seals on its first day, with monthly sales of about 20000 under management guidance. Given the super profitability of the Han EV car with a gross profit margin of more than 30 per cent, Seal is expected to make a positive contribution to BYD's product portfolio and profit margins.

2. Cofco Jiakang (01610): pork prices are expected to rebound rapidly.

According to the China Pig Network, the price of live pigs was 12.36 yuan / kg on April 12, while it reached 15.64 yuan / kg on May 16, rebounding by 26.5% in the past month.

Zhitong comments: pork prices are expected to hit bottom, the company's plight reversed. With the short-term rise in pig prices, the mood of piglets in the market has increased, and the pressure on fattening and secondary fattening of some farmers has increased, further increasing the pressure of supply shortage under the mismatch between supply and demand under the new crown. The effect of the company's early promotion of flaxseed pigs is also gradually emerging. In the first quarter, flaxseed pig sales increased by more than 19.7% year-on-year, with a gross profit margin of nearly 33%, exceeding 6PCT. With the completion and commissioning of 1 million slaughterhouses and Guangdong Segmentation Center in Chifeng, Inner Mongolia in 2022, the company will be able to further exert its farming capacity in the north and open up markets in Northeast, North and South China to expand fresh sales, and the fresh and brand fresh business will be expected in the future.

3. Xiexin Technology (03800) is considering and exploring the feasibility of issuing A shares.

Xiexin Technology (03800.HK) announced that the Group is now considering and exploring the feasibility of issuing common shares traded in RMB and listing them on stock exchanges in China. The board of directors is of the view that the proposed issuance of A-shares will provide different options for the Group to meet its capital needs and accelerate the development of the Group, thereby promoting the sustainable growth of shareholder returns.

4. Junshi Bio (01877) issued an announcement that VV116 was used in COVID-19 's early treatment of phase III to achieve the main end point of the plan.

The company's holding subsidiary Shanghai Juntuo Biopharmaceutical Technology Co., Ltd. and Suzhou Wangshanwang Water Biopharmaceutical Co., Ltd. jointly developed oral nucleoside anti-SARS-CoV-2 drug VV116 tablets (project code: JT001/VV116) "VV116") reached the main end point of the protocol in a phase III registered clinical study (NCT05341609) that compared Naimatwei tablets with ╱ ritonavir tablets (i.e. PAXLOVID) for early treatment of mild to moderate COVID-19. The company will communicate with the regulatory authorities in the near future to submit applications for the listing of new drugs.

Relevant agencies expect that VV116 will submit an application for NDA to CDE based on the phase 3 clinical data of Paxlovid, which is expected to be approved soon, and VV116 will most likely become the first domestic oral small molecule therapeutic drug for COVID-19 in China. The phase 3 international multicenter clinical trial of VV116 in the treatment of mild to moderate COVID-19 patients is expected to be completed in June, and the phase 3 international multicenter clinical trial in the treatment of moderate and severe patients is expected to be completed within 7 months, and the formal listing application will be submitted in the second half of the year. According to previous estimates by the agency, if VV116 is approved to be listed in China for COVID-19 treatment, the sales peak will exceed 20 billion yuan, and the value of the project DCF will exceed 70 billion yuan, excluding government procurement, advance stock and overseas market space.