Latest Search
Quote
| Back Zoom + Zoom - | ||||
|
Invesco Upholds Positive Outlook on CN, HK Stock Mkts as CN Introduces More Stimulus Policies
Recommend 6 Positive 10 Negative 6 |
||||
|
||||
|
David Chao, Invesco's Global Market Strategist for Asia Pacific (excluding Japan), stated that following the People's Bank of China's announcement of a series of monetary stimulus policies, Chinese policymakers have unveiled several additional support measures. These measures are more targeted, primarily focusing on consumers, the property market, and the banking system in order to create a spillover effect on the overall economy. As the newly announced easing measures are beneficial and policymakers have indicated more proactive fiscal expansion measures to be implemented, Chao believed the Chinese government will focus more on boosting consumption and maintaining investor confidence to provide comprehensive support for economic growth. In addition, although the stock market has rebounded, valuations remain below historical averages, implying that there is still over 20% upside potential at current levels. In the remaining time of the year, Chao anticipated global investors to be more willing to take on risk as central banks around the world cut interest rates and the economy achieves a soft landing. With the USD weakening and investors seeking higher returns, emerging markets, especially China, are projected to perform robustly. Chao also added that the Chinese market is not lacking in momentum, with the current uptrend similar to the one that lasted about nine months in 2014-2015. Despite a subsequent slowdown in GDP, the Chinese stock market still managed a surge of nearly 100%. AAStocks Financial News |
||||
Copied to Clipboard
 |
||||
