Core Viewpoint - Chinese brokerage stocks experienced a collective decline, influenced by market sentiment following the Federal Reserve's interest rate cut expectations being fully priced in [1] Group 1: Market Performance - Zhongzhou Securities (01375) fell by 4.81% to HKD 2.57 - China Merchants Securities (06099) decreased by 4.47% to HKD 15.82 - Everbright Securities (06178) dropped by 3.91% to HKD 10.33 - CITIC Construction Investment Securities (06066) declined by 3.75% to HKD 12.85 [1] Group 2: Analyst Insights - Zhongtai Securities reported that the market has fully priced in the Federal Reserve's interest rate cut expectations, leading to a decline in investor sentiment and a temporary cooling of risk appetite [1] - Guotai Junan Securities noted that the non-bank sector has underperformed the index in the past month, attributing this to trading factors while maintaining a positive outlook on the sector's fundamentals [1] - Morgan Stanley raised its confidence in the A-share market's average daily trading volume (ADT), increasing its 2025 ADT forecast by 53% to RMB 1.53 trillion, with annual growth predictions of 5% to 6% for 2026 and 2027 [1] Group 3: Earnings Forecasts - Morgan Stanley adjusted its earnings forecasts for covered Chinese brokerages, increasing the average predictions for 2025, 2026, and 2027 by 25%, 23%, and 20% respectively [1]