Zhongtai International: Hong Kong stocks may experience a short-term surge followed by profit-taking, and the subsequent upward trend still needs to rely on corporate earnings support

Zhongtai International strategy analyst Yan Zhaojun pointed out that Hong Kong stocks may rise in the short term due to the Federal Reserve's dot plot indicating expectations for interest rate cuts, but profit-taking will follow. The subsequent upward trend will need to rely on corporate earnings support. The Hang Seng Index fell 272 points last week, and if it rises to 25,000 points, the price-to-earnings ratio will be close to 11 times, requiring fundamental support. Geopolitical issues remain a concern, but China can better cope with trade frictions. It is recommended to pay attention to infrastructure and high-yield Chinese telecom stocks