Morning Trend | BOCOM INTL closed lower with a bearish candle, and the risk-averse atmosphere in the brokerage sector is intensifying

BOCOM INTL (3329.HK) showed an overall downward trend yesterday. Affected by tightening macro liquidity and profit-taking in the financial sector, the brokerage sector became a typical outlet for market risk aversion. Active position reduction continued during the session, with significant capital outflows, leading to further shrinkage in trading volume throughout the day and a lack of short-term buying power. Technically, the daily MACD death cross trend continues to expand, with price rebounds repeatedly facing resistance, exacerbating the imbalance between buying and selling power. At the industry level, there are currently no obvious policy benefits to stimulate the market, and major funds are choosing defense and liquidity management. When negative attributes suddenly emerge during the session, individual stocks and sectors are prone to amplified fluctuations. It is recommended to mainly observe and wait for signs of a bottom, which need to be accompanied by significant capital replenishment or marginal improvements in market policies. Currently, brokerage stocks are still in the process of finding a bottom, and the extent and duration of sector adjustments need to closely monitor changes in market liquidity and the competition among major funds. Long-term value investment still requires patience to wait for favorable industry policies to be implemented and signs of market stabilization

BOCOM INTL: The Federal Reserve's preventive rate cuts continue, and the uncertainty of the short-term policy path is expected to increase

BOCOM INTL released a research report indicating that the Federal Reserve is in a transitional phase from "preemptive rate cuts" to "wait-and-see," with uncertainty regarding short-term policy paths expected to rise. After the October interest rate meeting, market expectations for a rate cut in December fell from 82.4% to 63.8%. The Federal Reserve's decision to cut rates in the absence of key data reflects its policy orientation towards preemptive rate cuts. Internal divisions have emerged, and subsequent rate cuts are becoming more cautious, with Powell stating that a December rate cut is "far from a done deal."

BOCOM INTL expects a high probability of the US and China reaching a détente arrangement at APEC, and short-term market fluctuations should not alter the mid-term trend

BOCOM INTL released a global macro report analyzing the latest dynamics of China-U.S. relations. U.S. President Trump announced a 100% increase in tariffs on China, but subsequently released signals of easing, indicating a willingness to negotiate with the Chinese side. It is expected that at the APEC summit at the end of October, both sides may reach a de-escalation arrangement to stabilize economic and trade relations. BOCOM INTL believes that the probability of these tariff measures being implemented is low, as the U.S. economy faces multiple challenges, and a comprehensive escalation of tariffs would bring significant impacts

Surge of over 400 points! The Hong Kong Hang Seng Index hits a four-year high

The Hong Kong Hang Seng Index reached a four-year high on the 2nd, with a maximum increase of 469 points, closing at 27,325 points. The Hang Seng Tech Index also hit 6,650 points. Gold mining stocks were heavily traded due to the rise in international gold prices, with ZIJIN GOLD INTL rising by about 15%. Alibaba's stock price increased by about 4%. A report from BOCOM INTL indicated that the Hong Kong stock market is expected to continue, with strong demand from mainland investors for quality targets such as AI, while an improving external environment and stable policies provide support for the market

Wuhan Amisen Life Science Technology Co., Ltd. - B has submitted a listing application to the Hong Kong Stock Exchange, with joint sponsors being Jianyin International and BOCOM INTL