Chinese Developers Open Higher Then Pare Gains as Mortgage Loan Terms in China Extended
AASTOCKS News·- Chinese property developers broadly advanced initially before paring gains following a regulatory update on real estate credit management. - The People's Bank of China and the National Financial Regulatory Administration jointly issued opinions on Aug 28 to reform real estate credit. - The new policy stipulates that the maximum term for personal housing loans shall not exceed 40 years.HSI Opens Down 164 Pts; MEITUAN-W Leaps 2.5% Against Mkt; LONGFOR GROUP Up 5%+
AASTOCKS News·- Influenced by US Federal Reserve Chair Kevin Warsh's stance on inflation and rate hikes, the HSI opened down 164 points at 25,420. - MEITUAN-W bucked the market trend to open 2.52% higher following a 14.4% leap in 2Q revenue, while LONGFOR GROUP surged 5.74% on business projections. - Major tech stocks experienced mixed performance, and resource stocks generally declined amid various corporate earnings reports.Citi's Ratings and TPs on CN Developers (Table)
AASTOCKS News·- Citi published a research report detailing investment ratings and target prices for Chinese property developers and managers. - The report assigns Buy ratings to major sector players like CHINA RES LAND with a target price of HKD 43 and CHINA OVERSEAS with HKD 18.2. - Conversely, it issues Sell ratings and Sell/High Risk classifications for specific firms such as CHINA VANKE at HKD 2.2 and COUNTRY GARDEN at HKD 0.16.