Analyst
Top Stories
Sector Update |
China Property During 1-21 June, new-home sales and second-hand home transactions across core cities moderated from the previous week partly due to the impact of the Dragon Boat Festival. Tier 2 cities’ new-home sales recorded their first negative yoy growth in June. While second-hand home transactions remained in positive territory, housing prices continued to trend downward. We believe the recent stabilisation in Tier 1 property markets is largely policy-driven, making it premature to call a market bottom. Maintain UNDERWEIGHT.
Sector Update | Consumer
During the Dragon Boat Festival holiday (19-21 June), consumption showed a mild recovery trend. Offline consumption remained tepid, partly due to the overlap with the FIFA World Cup. This tepid performance was reflected in the moderation of offline retail sales growth, alongside a decline in per capita spending in Hainan’s duty-free consumption and domestic tourism. Maintain OVERWEIGHT. Our preferred stocks include Mengniu, Midea, Yili and Yum China.
Technical Analysis
JF SmartInvest | 9636 HK
Support levels: HK$25.08/HK$24.04
Resistance levels: HK$31.00/HK$39.62
Wasion | 3393 HK
Support levels: HK$20.32/HK$18.80
Resistance levels: HK$23.88/HK$27.32
Top Stories
Sector Update |
China Property During 1-21 June, new-home sales and second-hand home transactions across core cities moderated from the previous week partly due to the impact of the Dragon Boat Festival. Tier 2 cities’ new-home sales recorded their first negative yoy growth in June. While second-hand home transactions remained in positive territory, housing prices continued to trend downward. We believe the recent stabilisation in Tier 1 property markets is largely policy-driven, making it premature to call a market bottom. Maintain UNDERWEIGHT.
Sector Update | Consumer
During the Dragon Boat Festival holiday (19-21 June), consumption showed a mild recovery trend. Offline consumption remained tepid, partly due to the overlap with the FIFA World Cup. This tepid performance was reflected in the moderation of offline retail sales growth, alongside a decline in per capita spending in Hainan’s duty-free consumption and domestic tourism. Maintain OVERWEIGHT. Our preferred stocks include Mengniu, Midea, Yili and Yum China.
Technical Analysis
JF SmartInvest | 9636 HK
Support levels: HK$25.08/HK$24.04
Resistance levels: HK$31.00/HK$39.62
Wasion | 3393 HK
Support levels: HK$20.32/HK$18.80
Resistance levels: HK$23.88/HK$27.32
Analyst
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