Morgan Asset Management: The valuations of the mainland and Hong Kong stock markets are reasonable, and there is still considerable room for optimism

Morgan Asset Management expert Shen JiaoJiao stated that the valuations of the mainland and Hong Kong stock markets are reasonable, with low risks and still room for optimism. Although the market is concerned about geopolitical risks and the US-China tariff war not being resolved in the short term, only 10% of the revenue from the MSCI China Index constituents comes from overseas, and mainland policies will dominate the long-term direction of Hong Kong stocks. The Hang Seng TECH Index rose 2.3% last week, and there is room for absorption in AI concept stocks. The valuations of the seven major US stocks exceed 30 times, while the price-to-earnings ratio of Chinese tech stocks is only 15 times, indicating room for expansion. The automotive industry is facing a price war, and it is expected that concentration will strengthen in the future