news flash·2025-05-31 09:27Core Viewpoint - Zhongyuan Securities indicates that A-shares are expected to continue a structural market in June, driven by policy support and profit recovery [1] Economic Data - Economic data released in May exceeded expectations, with industrial output, consumption, and exports performing well, providing fundamental support for A-shares [1] Monetary Policy - Nine joint-stock banks have followed suit in lowering deposit rates, which may drive funds towards the equity market, bringing incremental capital to A-shares [1] - A series of financial policies have been released to signal stable growth and cost reduction, including a 0.5 percentage point cut in the reserve requirement ratio, a 0.1 percentage point reduction in policy interest rates, and a 0.25 percentage point decrease in structural monetary policy tools and personal provident fund loan rates, improving market liquidity [1] Investment Strategy - The current market is characterized by a rotation between growth and value stocks, suggesting investors focus on two main lines: 1. Sectors benefiting from domestic demand, such as computers, components, electronics, and communications [1] 2. Defensive sectors with low valuations and high dividends, including banks, coal, and oil and petrochemicals [1]