On May 18th, Galaxy Securities Research Report stated that in the short term, the announcement of the Joint Statement of the China US Geneva Economic and Trade Talks released a positive signal of easing China US economic and trade relations, which will help to cool down market risk aversion. At the same time, the potential pressure of trade frictions on domestic economic growth has eased, and corporate profit expectations are expected to be revised upwards. But this round of agreement is a milestone achievement in the negotiations between China and the United States, and there will be fluctuations and uncertainties in the direction of subsequent tariff policies. In the long run, the trend of the A-share market will still reflect the connotation of “me as the mainstay” and is expected to show stronger resilience. In terms of configuration, it is recommended to focus on three major directions: firstly, the increasing uncertainty of the external environment, the relatively strong performance certainty, and the overall stable dividend returns of the dividend sector have defensive attributes. Secondly, the logic of the “technology narrative” in the A-share market is clear, and it is recommended to focus on the catalytic opportunities of subsequent industry trends. Thirdly, pay attention to the allocation opportunities in the large consumer sector, implement intensive policies to support service consumption, expand the scope and improve the quality of the “two new” policies, and drive market recovery.
Scan code to share