Lates News

Guotai Junan Securities believes that in the short term, as the impact of performance verification period diminishes, the trend of industrial investment is expected to return to the market or present a structural market trend. However, the current Sino-US trade negotiations are still at a critical stage, and the final results have not yet been determined. The subsequent progress of the negotiations may still disturb market expectations, and close attention is needed. At the same time, the impact of tariffs on the pace of domestic economic recovery will gradually become apparent, and it is expected that the market will maintain a range-bound pattern. In terms of allocation, it is recommended to focus on three main directions: first, with increasing uncertainty in the external environment, sectors with relatively strong performance certainty, stable dividend returns in the dividend sector possess defensive attributes. Second, in the A-share market, the logic of the "technology narrative" is clear, and it is recommended to focus on the catalytic opportunities of the future industry trends. The recent escalation of global geopolitical conflicts may support the military industry sector. Third, focus on the allocation opportunities in the consumer sector, with policies providing intensive support for consumer services and the expansion and improvement of the "two new" policies driving market recovery.