GLONGHUI, June 18 | CMB International released a report saying that according to the National Bureau of Statistics, online retail sales and online retail sales of physical products reached 5.8 trillion yuan and 4.8 trillion yuan in the first five months, up 12.4% and 11.5% year-on-year, corresponding to two-year compound average growth of 13.1% and 11.6%. The growth rate of online retail sales continued to exceed the growth of online retail sales of physical goods. According to the report, online retail sales of physical products grew by 12.9% in May alone, further accelerating on a month-to-month basis. The steady growth trend continued and was better than market expectations. Live e-commerce and instant retail continued to penetrate, and consumer purchasing habits continued to migrate online as the shopping experience improved, or were the main support. The bank believes that e-commerce platforms are expected to support efficient growth by providing subsidies and driving user experience improvements around high-frequency and core member users, increasing shareholder returns based on relatively stable profit levels or is expected to support valuation levels, and future consumption recovery may support further valuation revaluations. The bank maintains the “buy” ratings of Pinduoduo, Ali, and JD.