HUAXI Securities Liu Yu: The most obvious change in the stock market after the reform is the establishment of a lower limit

Liu Yu, Chief Economist of HUAXI Securities, attended the 2026 China Chief Economist Forum Annual Meeting and delivered a speech. Liu Yu pointed out that a policy framework has been formed that emphasizes strict listing requirements, increases delisting efforts, encourages listed companies to distribute dividends, and promotes the entry of medium- and long-term funds into the market. From the performance of the stock market over the past year and the beginning of this year, it is evident that a slow bull market pattern is beginning to take shape. She stated that from the perspective of investors themselves, a significant change is that the stock market now has a lower limit, which is very important. After a series of reforms, the most significant change is that the stock market, especially in terms of stock index dimensions, has a lower limit. Liu Yu believes that it may be necessary to continue to maintain this point in the future. For example, while it is difficult to predict the upward peak of the stock market in 2026, it is more important to ensure a downward low point, such as continuously raising the low points from 3,800, 3,900 to 4,000 points. If the SSE Index can achieve this, the stock market will definitely become increasingly attractive. (Sina)