Both good and bad are professional terms in the stock fund market. Good news refers to information disclosure that can stimulate the stock price to rise; bad news refers to information disclosure that can cause the stock price to fall.

If the operating performance of listed companies improves or deteriorates, and bank interest rates decrease or tighten, it will cause good or bad news.

There are four basic principles for distinguishing between good and bad:

1. Based on the impact on the supply and demand relationship in the stock market. Because the supply and demand relationship between funds and the stock market determines the rise and fall of stock prices, when funds are relatively excess, stock prices will rise; conversely, when funds are relatively tight, stock prices will fall. Therefore, all news about stock expansion is bad news, and all news that is conducive to capital expansion is good news.

2. The impact on investors’ speculation returns or the ease of transactions. For example, whether stock dividends or capital gains (stock price differences) are taxed or whether the tax rate is adjusted, whether stock transaction fees, taxes or stock delivery deadlines are Extend or shorten. Since the increase in stock transaction taxes or interest rates will reduce investors' investment returns, extending the delivery period, such as T+0 to T+1, will increase the difficulty of stock speculation, correspondingly prolong the operation cycle of funds and increase the risks of stock speculation. So it's bad news.

3. Impact on the operating efficiency of listed companies. All information that affects the operating efficiency of listed companies is bad news, such as changes in the operating environment of listed companies, including changes in the country's political and economic situation, whether the country is in a state of war, whether macroeconomic operations are stable, etc. Because changes in these factors affect the supply of raw materials or product sales, they affect the working mood or status of employees of listed companies, thereby directly affecting the operating efficiency of listed companies.

4. Impact on the value of stock investment. All factors that increase the relative investment value of a stock are bullish factors; conversely, all factors that reduce the relative investment value of a stock are negative. When the yield on investments in other areas rises, it will lead to a relative decline in stock yields, such as an increase in savings interest rates or bond interest rates, an increase in real estate investment income and other industrial investments, etc. And a drop in savings rates or bond rates is bullish news.