The Zhitong Finance App learned that Daimo released a research report saying that after the price increase on US routes on June 1, Hong Kong and mainland container shipping stocks outperformed their respective indices last week, but due to weak trade demand, it is believed that the rise in spot freight rates is unsustainable. The bank expects effective supply growth of 6% and 9% respectively this year and next two years, while effective supply increases of 8.2% and 11.4% for ships above 8,000 TEU this year and next two years, far exceeding the average annual demand growth rate of 2.5% from 2011 to 2022.

The bank said it will reduce its profit forecast for Haifeng International (01308) by 10.8% and 11.3% for next year and the year after, respectively, to reflect the reduction in its cost advantage in an environment where chartering costs fall. Dongfang Overseas International (00316)'s profit forecasts for next year and the year after fall by 8% and 11.7%, respectively, to reflect lower rate expectations. The profit forecast for COSCO Marine Holdings (01919) for next year and the year after will decline by 0.1% and 4.4%, respectively. At the same time, the target prices of the three were lowered to reflect lower profit expectations and net reduction.