Network technology stocks rose across the board in early trading.$TRIP.COM-S (09961.HK)$increased by 7.3%, to HK$500;$BEKE-W (02423.HK)$rose by 6.76%, to HK$58.4; $MEITUAN-W (03690.HK)$increased by 5.69%, to HK$194.9; $BABA-W (09988.HK)$Rose by 3.6%, closing at 106.6 Hong Kong dollars.

On the news front, the State Council Information Office will hold a press conference at 10:00 a.m. on October 12th, to introduce the relevant details of 'increasing the countercyclical adjustment of fiscal policies and promoting high-quality economic development' by Minister of Finance Lan Fowan, and answer questions from the press. In addition, the People's Bank of China and the Ministry of Finance have established a joint working group and recently held the first official meeting of the working group. UBS Group previously stated that the government may reveal more specific fiscal support measures at a high-level meeting later this month. Investors who are underweight China stocks may consider increasing exposure to selected internet-plus-related and consumer industry companies at lows.

Dahua Jixian released a research report saying that considering the stronger-than-expected implementation of government policies and improvement in consumer sentiment will benefit e-commerce, local lifestyle service, and OTA companies. Looking ahead to the second half of the year, the bank expects the undervaluation of internet companies to be restored through shareholder returns, cross-border expansion, and easing competition. They also believe that the development of AI and upgrades in advertising technology will drive monetization. Bocom Intl indicated that individual valuations of internet companies still have room for upward adjustment compared to the average valuations since 2022.

Editor/ping