Latest Search
Quote
| Back Zoom + Zoom - | ||||
|
HSBC Private Banking: HSI Yr-end Target at 28,000; US Equities Upgraded to Overweight
Recommend 15 Positive 19 Negative 15 |
||||
|
||||
|
The year-end target for the HSI is 28,000, below the 31,000-point target set at the end of last year, said Patrick Ho, Chief Investment Officer, North Asia, Private Banking and Wealth at HSBC. The bank maintained a moderately overweight view on Hong Kong and mainland China equities, reflecting factors such as geopolitical conflicts, disruptions to oil supply, and the relatively high proportion of internet companies within Hong Kong-listed tech stocks. Ho favored Hong Kong local stocks, including financials such as banks and insurers. Rising US Treasury yields are seen as boon to insurance companies, while bank stocks are expected to benefit from improving conditions in the office and retail property markets. The worst period for e-commerce is over and earnings may rebound in the future, Ho opined. Mainland Chinese internet companies have strong sales strategies and penetration rates, and are expected to ride on AI applications. He estimated the HSI could rise from the current level of 24,900 in 2H26. Regarding US equities, although earnings of US tech stocks have leapfrogged, their forward 12-month PE is currently lower than that of the broader market, indicating valuations remain reasonable. The view on US equities was upgraded from moderately overweight to overweight, while a positive stance on large US tech leaders with technological advantages was upheld. Regarding mainland China's recent crackdown on cross-border operations by securities firms last week, Ho believed such move will underpin the market's healthy development in the future, clarify investment activities, and in the long run strengthen Hong Kong's position as an IFC. AASTOCKS Financial News |
||||
Copied to Clipboard
 |
||||
