says it will not participate in the euro area "Banking Union"

Gold: waiting for the last falling bank stocks to buy points to (unit) Industry: people's Bank of China decided official site, beginning on June 8, 2012 cut RMB benchmark deposit and lending rates of financial institutions. Benchmark one-year deposit rate financial institutions 0.25%, benchmark one-year lending rate 0.25%. With effect from the same day: (1) financial institutions deposit interest rate floating range adjustment at the top of the benchmark interest rate of 1.1 time, and (2) financial institutions to adjust the minimum lending rate floating range to 0.8 times times the benchmark interest rate. Comment: essentially asymmetrical cuts, sharply squeezed banks spread space. The rate cut, while 2-5-year deposit rates decline more than lending rates, to 30-40bp, and current deposit interest rates 10bp, but considering the deposit and loan interest rates-floatingAfter the expansion of dynamic range, worst case, Bank one-year deposit rate rose 8bp to 3.58%, and one-year weighted lending rates (assuming the original interest rate loans accounted for more than 90 percent of 20%) are down from 37bp to 6.06%, deposit and loan interest rates will be compressed 45bp (chart 1). How the Bank will respond? Short term: we judge, small and medium-sized banks loan depositPressure will have an incentive to actively increase deposit rates to the level CAP, and large bank deposit loss severe situations, will follow a rise in deposit rates in order to protect market share. However, if credit demand continued to fall, pressure relief and loan to deposit ratio, the Bank may also be more rational, such as the large bank deposit interest rates are often smaller banks in the market about low-25bp. In theLong term: to accelerate the process of interest rate marketization will give banks more independent space on the pricing of assets and liabilities. This difference will test bank management, Bank Fundamentals of differentiation trend is inevitable. Larger impact on the profit and loss account, profit will fall at least 2013 unit growth, does not exclude zero. If a separate investigation effect of rate cuts, as demand depositsInterest rate cut 10bp for 2012, the positive effect of listed Bank's net profits of about 1% for 2013, net profit affecting around 2%. However, interest rate floating range of adjustment on bank earnings impact larger. In the worst case, assume that all term deposit interest rates once float to the benchmark interest rate of 1.1 times (the original deposit can be rolled over on a regular basisHeavy pricing), while the original 90 percent interest rate on loans in accordance with the pricing period to adjust to 80 percent, the impact on net profits of listed banking 2012 and 2013 and 4%, respectively. Taken together, the wheel rate on Bank profit and loss statement impact of large growth in profit would fall to number of units is expected in 2013. If continue to cut interest rates in the second half of 1-2, you do not exhaustIn addition to 2013 Bank profits to zero. However helped to ease concerns about asset quality. Interest rate cuts and promoting marketization of interest rates to market delivered a strong "steady growth" signal. We believe that reduce the cost of financing helps to alleviate the financial burden of the industrial enterprises on the one hand, thereby improving profit margins, on the other hand helps to improve the investment needs of enterprises, thus promoting the marketEase on fears of an economic hard landing in China, helped ease investor concerns about banks ' asset quality. Valuation and recommendation: profit and loss statement, the balance sheet after: short-term insists on "defense", waiting for the market to digest the profit impact, meeting the buy point. We have so far this year has always stressed defense, 2 quarter listed in the policy will allow us to become one of the more positive signals are "dropMeans "that" does not rate cuts don't buy bank "judgments. Current rate cut signals have emerged, we think the market's concern about bank stocks will follow "from the profit to a balance sheet" path, impact of the namely digestion link, cut interest rates on bank accounts, then reflected confidence in the balance sheet repair. Therefore, reiterated throughout the policy "after the first small": the short stick defense: choose certainty of high, Low risk of major banks, after the markets Digest earnings forecasts slashed, convert to the lowest valuation of smaller banks, after enjoying the asset quality worries eased, to the return of more than 1 time times the net asset value increases. A shares recommended combination for the Bank, China, agricultural Bank, construction Bank, ICBC. H-share banks preferred Bank, Chongqing rural commercial banks, ICBC. [Scroll] Ministry of Finance announcedCatalogue of the trial the Government procurement items (06-08) [scroll] United Kingdom Prime Minister, says it will not participate in the euro area "Banking Union" (06-08) [scroll] lower Dow stocks Friday fell by 0.24% (06-08) [scroll] Hangzhou Health Department ordered the KFCUser modified aeration does not disinfect the tray (06-08) [scroll]IMF: China interest rate cuts expected growth this year 8% delivered steady growth signals (06-08) [scroll] in international oil prices have fallen sharply (06-08) [scroll] Foton intends to pay $ 1.782 millionBrazil established a subsidiary (06-08) [scroll], 93rd gasoline per liter $ 7.52 per cent of Guangdong (06-08) [scroll] development and Reform Commission, explain the reduction in oil prices than markets expected reasons (06-08) [scroll] panzhihua iron and vanadium-titanium intends to raise not more 12 billion to buyAngang subsidiary assets (06-08) [scroll] oil prices out downward to reduce cost is a matter of urgency (06-08) [scroll] McDonald's global same-store sales increased by 3.3% May (06-08) [scroll] Central Bank: implementation of prudent monetary policyFoot solid economic requirements (06-08) [scroll] soldiers loaded group quit and jianlibao joint venture company sold all 30% shares (06-08) [scroll] bright dairy private placement approved haitong securities escort (06-08) [scroll] France's Central Bank forecast second quarter economicContract 0.1% (06-08) [scroll] Shanghai: cars with LPG retail prices drop 3 cents (06-08) [scroll], 93rd Shanghai fell to $ 7.58 per litre gasoline (06-08) [scroll] Central Bank cut interest rates by 25 basis points under the financial costs of electric power EnterpriseDrop (06-08) [scroll], 93rd, Beijing fell to $ 7.64 per litre of gasoline (06-08) [scroll]IMF: China's economic growth this year 8% the Yuan is still undervalued (06-08) [scroll] Wharf: stake in green city is a strategic investment trust green cityRedemption (06-08) [scroll] Lufthansa Cargo to confirm closure of Emerald Air says it will not pull out of China (06-08) [scroll] CBRC commercial bank capital management question and answer session (06-08) [scroll] Green City: year to date sales compliance 38% free of price cutsScheme (06-08) [scroll] Song Weiping: decline in transaction prices matter don't mind a voice (06-08) [scroll] Hongwei ZHANG: green city sells unit to survive the "live" is the most important (06-08) [scroll] Chongqing 1200 poor farmers will choosePoverty alleviation project (06-08) [scroll] tracking of Guangdong power grid load's first new highs in June this year the gap will be reduced (06-08) [scroll] various provinces, gasoline and diesel retail price table of the highest (06-08) [scroll] China's petrochemical and Russia chemical signed cooperative agreements(06-08) [Scroll] Shares of major tournaments feet soft European Cup magic spell can break (06-08) [scroll] tracking of Guangdong power grid load's first year record (06-08) [scroll] Chairman Wang Runpei Pearl River Piano resigned due to physical reasons (06-0819:34) [scroll] expert analysis that the price reduction was too small (06-08) [scroll] oil prices second cut boot floor people could enjoy the benefits (06-08) [scroll] monitor display: pork prices rose in the Northeast since early June (06-088) [scroll] since the beginning of June, pork prices rose in the northeast (06-08) [scroll] Central Bank rate cut Bank scroll fell to 6.28 times times forward earnings (06-08) [scroll] pharmacy sewage local government issued a denial of alleged breaches of the Federation (06-08)Gasoline and diesel oil down $ 0.39 per litre respectively, and $ 0.44 | Stock market effects | Successive adjustment | Lin Bo Qiang | topic around this fall in high oil product prices modification | Oil prices or will continue down | Pulling sales limited green city Kowloon Kuranari 2nd largest shareholder | Will sell 10 billion project | Hongwei ZHANG: liveImportant | Special counties in the private tomb of Super Deluxe [financial] auto group in Jiangsu Province broke down continued: oil product Super chlorine content United States 6,000 times [financial] Green City continue to "sell one's soul self" shares the wharf to raise $ 5 billion Hong Kong dollars [financial] Canon Zhuhai require employees to long-term leave Foxconn denies Chengdu riots [financial] shares of CCB saidFall-independent performance bank insurance business not to be punished [shares] the two outflows of 8 billion shares being the banks to buy points to [stock] SFC: restructuring share insider involved shall suspend the restructuring of listed companies [commercial] learn from Liu brand-building the global youth unemployment highest national [commercial] 8 questions that must be asked before the businessIndustry is like a pair of power-law distribution of [financial] Central Bank rate cut millions of mortgages issued 20 36,000 fewer bonds cancel [financial] rich dating $ 40,000 spare cash to finance activities of interest exposure pictures documentary: revealing the secrets of Foxconn, as United States Federal Reserve System