Bank of China International's report states that the trading volume in the Hong Kong stock market in the past two weeks has reached a historical high. The bank believes that the funds flowing into Hong Kong stocks currently mainly consist of trading funds and passive funds, leading to significant short-term market volatility.
Zhongjin believes that a more flexible monetary policy and a comprehensive and proactive fiscal policy combination are key to driving economic growth and improving the fundamentals of listed companies, which will help repair stock market valuations.
The bank remains optimistic about the outlook of the Hong Kong stock market in the fourth quarter. In terms of major investment strategies, it is recommended that investors focus more on large banks, major state-owned real estate enterprises, leading construction companies, and high-quality consumer stocks in the short term.