Zheng Quan Shi Bao Wang·2025-08-26 13:13Core Viewpoint - Recent analysis by China Merchants Securities indicates that the narrative of tightening liquidity in Hong Kong stocks has marginally improved due to the stabilization of Hibor rates and dovish statements from Powell [1] Group 1: Liquidity and Market Performance - The improvement in liquidity conditions is deemed sufficient to support a phase of rebound in Hong Kong stocks, narrowing the gap with the recently surging A-shares [1] - The current earnings surprise rate for Hong Kong stocks is at its highest since 2022, indicating positive performance expectations [1] Group 2: Investment Strategy - In the context of previous bull markets, Hong Kong stock indices have historically underperformed compared to A-shares, suggesting a need for differentiated investment strategies [1] - Recommended investment focus includes innovative pharmaceuticals first (due to loose liquidity and positive BD data), followed by the internet sector (where earnings pressures are fully priced in), and finally new consumption (awaiting macroeconomic and profit turning points) [1]