According to the Financial Associated Press on March 17 (Editor Feng Yi), today the Hong Kong stock big Consumer Sector is collectively active due to policy boosts, with multiple sub-sectors rising.

As of the time of writing, among Dining stocks, $XIAOCAIYUAN (00999.HK)$Up nearly 8%,$YUM CHINA (09987.HK)$has risen over 3%. Driven by the fertility subsidy policy, $AUSTASIA GROUP (02425.HK)$、$CHINA SHENGMU (01432.HK)$Two dairy stocks both rose over 5%.$POP MART (09992.HK)$、$MNSO (09896.HK)$Retail stocks also performed actively.

On the news front, the General Office of the CPC Central Committee and the General Office of the State Council recently issued the "Consumption Promotion Special Action Plan," which outlines 30 key tasks across 8 areas. These include actions to promote income growth for urban and rural residents, support for consumption capacity, quality improvement in service consumption, upgrading of bulk consumption, enhancement of consumption quality, improvement of the consumer environment, cleaning and optimizing restrictive measures, and improving support policies.

In addition, some media reported that Goldman Sachs recently conducted market research on China's essential consumer products industry in Europe, which shows that offshore investors are optimistic about the sustainability of China's consumption recovery and are closely monitoring policy stimulation. Goldman Sachs also stated that some Emerging Markets funds, especially those with low exposure to the Chinese market, are beginning to increase their Shareholding in Chinese consumer stocks.

It can be seen that as the stylistic phase of the Hong Kong stock market shifts towards value-driven, combined with policy stimulation, the heat of consumer stocks in the market has also shown a rapidly increasing trend.

Institutions point out that overall, compared to the consumption demand and price indicators that weakened significantly after last year's Spring Festival holiday, this year some Consumer volume and price show positive signs of marginal stabilization, possibly boosted by warming temperatures.

On the other hand, after the valuations of Technology stocks have undergone a round of recovery from the bottom, whether consumer stocks can welcome a similar "revaluation" trend is currently a key focus for the market.

According to the latest valuation report released by Huaxi, as of March 14, the Hang Seng Essential Consumer Index valuation is 18.39 times, still significantly lower than the median of 22.54 times since 2010.

In contrast, the valuation in the Technology Industry, after the rising market trend since the beginning of the year, is currently at 33.87 times, having been repaired above the median since 2010.

More noteworthy is that, according to Wind data, using$Hang Seng Index (800000.HK)$As of the close on March 14, over the last month, the Hong Kong Stock Connect has seen substantial Inflow into the Consumer sector reaching 92.959 billion HKD, far exceeding the 38.785 billion HKD Inflow into the Technology industry. This indicates that domestic capital, led by the southern funds of the Hong Kong Stock Connect, may have recently"re-bet" on Consumer stocks amid the recent adjustments.

HAITONG INT'L recently released a strategy report for the Hong Kong market, stating that overall, this round of bull market has entered the second half. Among blue chips, the CSI Consumer 360 index performs better under policy support. Within the CSI Consumer 360 index, the low-end traditional Consumer and fertility-related newer Consumer outperform. However, it is necessary to monitor if the Consumer bull market has sustainability, considering factors such as Consumer stimulus policies, economic data, and interest rate cuts.

Editor/jayden