JPMorgan released a report stating that it remains bullish on the performance of domestic banks in the second half of the year, believing that they will mainly benefit from the regulatory focus on safeguarding bank net income and the policy support for stable macroeconomic growth prospects in the second half of the year. The bank expects that the income and profits of domestic banks will turn to growth in the second half of the year. JPMorgan continues to favor the four major domestic banks with stable profits and high yields, in order of preference: Industrial and Commercial Bank of China, Agricultural Bank of China, China Construction Bank Corporation, and Bank of China. The bank's analysis shows that, for southbound and A-share investors, the current differential in dividend yield remains attractive, and they can increase their shareholding during any weakness.

The bank raised the target price of Bank of China from HKD 4 to HKD 4.2, China Construction Bank Corporation from HKD 6.55 to HKD 6.7, China Merchants Bank from HKD 44 to HKD 46, China Citic Bank Corporation from HKD 4.4 to HKD 4.55, and Postal Savings Bank of China from HKD 4.3 to HKD 4.6.