such stocks in a down market rigidity is very good. Both have their strengths

Hong Kong critics interview with Cao Renchao China Securities Journal reporter recently said the outflow of hot money, would not seriously affect the Mainland's stock markets, but significant impact on the property market. China not optimistic about next year, is expected in most of the time between 16,000 and 20,000 shocks, it is estimated that a share is in shock, investors do not have to worry about the future a-shares will fall sharply. Outflow of hot moneyImpact on the property market in China Securities News: people's Bank of China released data showing a few days ago, foreign exchange balances first negative growth in the past four years, this was interpreted by some outflow of hot money in China. Affect the mainland stock and property markets? Cao Renchao: the recent balance of China's foreign exchange deposits to negative growth for the first time in nearly four years, representing the funds being out of China is a correct analysis. I believe that theIt would not seriously affect the Mainland's stock markets, because the a-share adjustment as early as beginning in August 2009, but significant impact on the Mainland property market, as adjusted by the second half of 2011 will begin. The China Securities journal: recently, the European debt crisis flared again, how long do you expect the crisis will last? Cao Renchao: Europe's debt crisis has appeared in 2009, but the United States in 2009Year in March and November 2010 launch of QE and QE2, international capital continues to flow to the eurozone. May 2011, QE2 is completed, United States not to launch the QE3, forming recycling dollar area, upgrade the European debt crisis. When resolved? I am afraid that is not in the foreseeable future, believed to be no end to it. Not to worry about a shares plunged China Securities journal: The last interview, you made it clear that, the Hang Seng index has low, stock index up after. However, began to fall again in the near future, do you think a stock market rebound began in October diablo 3 power leveling, has ended, falling back channel? Cao Renchao: Hsi on October 5, 2011 at 16,000 points, when P/E 8.9 times times, on behalf of China into the low zone, that is, stock marketFurther downside risks significantly reduced form a broader market rebounded. But looking ahead to 2012, global economy is still subject to the economic environment in Europe and America, United States economy fails to recover, European debt problem cannot be solved in the short term. Since June this year, the Mainland began to adjust the property market in 2012, adjusted quite a lot of pressure, so poor 2012 Hong Kong economy will be higher than this year. Therefore diablo 3 gold, in 2012On the economic side is not a good year, in the absence of basic factors supporting Hong Kong's stock market and how much? Estimated that in 2012 the Hang Seng index hovered between 16,000 to 20,000 points most of the time, keep playing stock, game, not fried. The China Securities journal: for the a-share, and back to 2,400 points near, in the region, do you have a larger support? CaoRenchao: my understanding on the a-share a lighter, as property prices beginning to scale back until the second half of 2011, I believe that both amplitude and time than Hong Kong real estate, shares may be less than the Hang Seng index in the coming year. From another point of view a share per cent beginning in August 2009, theory in light City out to three years, investors don't have to worry about a-shares to fall sharply in the future, I believeIn interval fluctuations. Shares of profit ability China Securities journal: at present, mainland regulators encouraged to reward shareholders of listed companies, increased cash dividend. For the average investor, best way to get in return is to acquire bonuses or getting the bid-ask spread? Cao Renchao: stock price movements are not generally is determined by how much dividend, but the company's earning power (hereinafter referred to P/EG）。 If the company net profit for the year rising share prices will rise sharply, commonly known as companies such as growth stocks. In contrast, depend on the high interest rates to support the share price called "strong defensive" stocks, such stocks in a down market rigidity is very good. Both have their strengths, weaknesses, it's hard to say what kind of good company. In Rose City, should invest in growth stocks; in the broader market uncertainty, should invest in strong resilient power unit。