Group 1 - Dairy stocks continue to show strong performance, with China Shengmu (01432) up 9.09% to HKD 0.48, Yurun Dairy (09858) up 3.53% to HKD 4.4, Mengniu Dairy (02319) up 1.46% to HKD 16.67, and Ausnutria (01717) up 1.19% to HKD 2.55 [1] - The implementation plan for the childcare subsidy system was released on July 28, which will provide a subsidy of HKD 3,600 per child per year for children under three years old starting from January 1, 2025, benefiting over 20 million families [1] - The policy is expected to directly boost the consumption of dairy products, particularly infant formula [1] Group 2 - Guosen Securities is optimistic about the reversal of the beef cycle in 2025, predicting that meat prices will continue to rise until 2027 [1] - The domestic raw milk supply and demand situation is expected to improve in the second half of 2025, leading to a potential price recovery [1] - The improvement in raw milk prices is favorable for the profitability of dairy farming, and the upward trend in the beef cycle is expected to significantly enhance the income from culling dairy cows and selling calves, recommending Yurun Dairy, Modern Dairy, and China Shengmu for their high performance recovery potential [1]