Citic Sec research reports indicate that the fiscal policy's countercyclical adjustments have increased, easing the credit risks of two important sectors in the banking system (local government financing vehicles and real estate sector), helping to enhance the stability of banks' net assets, positively affecting bank stock valuations. Although the capital replenishment of state-owned banks may have a dilutive effect, the expected magnitude is controllable. From a long-term perspective, it is expected to strengthen the sustainable development capabilities of state-owned major banks. Overall, the fiscal ministry meeting on October 12th has brought substantial bullish news for bank stocks, further enhancing sector certainty, recommending investors to actively increase allocation.