汇丰策略师表示，较低的利率，以及促进旅游业和重振当地房地产业的举措，将支撑香港股市。HSBC has upgraded its rating for Hong Kong stocks to Shareholding, accurately predicting that the Hang Seng H-Share Index ETF would rise over 20% last year.
HSBC Holdings Plc is becoming bullish on Chinese stocks listed in Hong Kong, anticipating that these stocks will benefit from more favorable policy rhetoric and better economic prospects in mainland China.
HSBC strategists, including Herald van der Linde and Prerna Garg, wrote in a report that the Hang Seng H-Share Index ETF could rise by 21% by 2025. They raised their year-end target price forecast for the index from 8610 points to 8800 points.
The HSBC strategists stated that lower interest rates and measures to promote tourism and revitalize the local real estate sector will support the Hong Kong stock market.
They said, "The economic outlook in mainland China has improved, and the recent shift in policy tone affirms the government's determination to stabilize the economy. This is a positive sign for the A-share market, and we believe the Hong Kong stock market will also further benefit."
Investors are now looking forward to the National People's Congress scheduled for March, where the Chinese government will announce the 2025 growth targets and detailed plans to stimulate consumer spending.
In January of last year, HSBC predicted that the Hang Seng H-Share Index ETF would rise by about 24% in 2024, and the index ultimately closed with a 26% increase.
The strategists wrote in their latest report, "Recent policy measures indicate that the risk of immediate decline in corporate earnings growth has been averted. With households holding more than 20 trillion dollars in cash savings, this is crucial for reducing tail risks and restoring market confidence."
HSBC has upgraded the rating of Hong Kong's stock market from neutral to Shareholding, while downgrading India's stock market rating to neutral, citing that the country's domestic economic slowdown and high stock valuations may limit returns this year.
The rebound of India's Nifty 50 Index has lost momentum in recent months due to weak corporate earnings and foreign capital outflows. The Indian government has lowered the economic growth forecast for this fiscal year to the lowest level since the pandemic.
HSBC has also upgraded South Korea's stock market rating from Shareholding to neutral, as the recent sell-off provides a 'good opportunity' to increase exposure. Strategists indicate that the political turmoil in the country should not significantly affect corporate earnings.
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