The main reason of negative interest rate is that the loan interest rate is lowered, the difference between deposit and loan becomes smaller, and the profit margin of banks becomes smaller.

At the same time, lowering the deposit reserve ratio is considered a good thing, because banks can use a large amount of money to make profits from lending.

However, this reduction in the reserve ratio does not include ICBC, Agricultural Bank of China, Bank of China, China Construction Bank, Bank of Communications and Postal Savings Bank. The stocks of these banks can not get the relatively favorable result of the reduction of the deposit reserve ratio, but also encounter the absolutely negative result of the reduction of the loan interest rate, so the stock price decline is inevitable, which also makes the stock market worse.