DBS published a research report stating that due to market re-rating and recent policies aimed at stimulating capital markets, along with increased market risk appetite under a rate-cutting cycle, the Hong Kong Stock Exchange's rating was raised from "hold" to "buy", and the target price was significantly increased from 245 Hong Kong dollars to 377 Hong Kong dollars. The bank also raised the average daily trading amount (ADT) forecast for the Hong Kong Stock Exchange for the next two years to 120 billion Hong Kong dollars and 144 billion Hong Kong dollars respectively to reflect improved investment sentiment. The profit forecasts for the next two years were also raised by 10% and 20%, mainly due to changes in ADT forecasts, partially offset by lower investment income forecasts. The bank expects the strong trading trend to continue, mainly due to further rate-cut expectations and the capital markets regaining confidence in the mainland China and Hong Kong stock markets. However, the bank anticipates limited improvement in trading activity in the fourth quarter, due to seasonal factors such as the U.S. election in early November and the approaching Christmas holiday in December.