Lates News

Citigroup's report stated that it expects mild government stimulus policies to boost the domestic economy, particularly in the consumption, internet, resources, and technology sectors. The bank believes that the mainland and Hong Kong stock markets do not appear expensive and are slightly below historical averages, therefore maintaining a constructive view. Citigroup has upgraded the consumption industry to "hold" and prefers local stocks, hoping to gain potential returns from government stimulus measures; and lowered the transportation industry to "neutral" due to rising US trade tariffs. The bank also likes large internet stocks and technology stocks supported by government policies. Citigroup has raised its year-end target for the Hang Seng Index from 24,500 points to 25,000 points, with a mid-year target of 26,000 points next year. The year-end target for the MSCI China Index has been raised from 78 points to 79 points, with a mid-year target of 82 points next year. Citigroup's list of preferred H-shares for buying includes Tencent, China National Nuclear Corporation, BYD, AIA, and Anta Sports.