CITIC Securities: Market style faces periodic test, suggests four main lines.

A CITIC Securities research report points out that, against the backdrop of periodic tests for market style, competition for funds may result in market performance described as “high to low” (i.e., shifting from higher to lower levels). Considering that current holdings in the consumer sector are low, valuations are low, dividends are relatively high, and there are potential policy expectations, CITIC Securities believes the value of phased, balanced allocation across industries has once again come to the fore. It recommends four main investment themes: agriculture (breeding) with a supply-side turnaround, service consumption with long-term capacity expansion, essential consumption in valuation troughs, and new consumption offering long-term structural opportunities. (People’s Financial News)
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