Ge Long Hui·2025-10-17 06:10Core Viewpoint - Macquarie's research report indicates that unless trade negotiations or geopolitical relations deteriorate, emerging markets will see capital inflows in the next six months, supported by improved liquidity in H-shares and potential consumption stimulus measures [1] Group 1: Market Outlook - The A-share market is expected to receive support due to a 20% year-on-year increase in industrial profits in August, driven by anti-involution policies in upstream industries [1] - The upcoming 14th Five-Year Plan is anticipated to focus on enhancing social welfare, potentially leading to structural capital inflows into the stock market [1] - Reforms in household savings, insurance, and private pensions could introduce approximately 43 trillion yuan of potential investment into the stock market over the next decade, equivalent to 41% of the total market capitalization of A-shares in Q3 this year [1] Group 2: Investment Preferences - The company currently prefers H-shares over A-shares due to quality rotation and IPOs attracting more investor attention to the Hong Kong stock market [1] - However, the company remains optimistic about A-share performance in the medium term, as national policy reforms are expected to drive capital inflows [1] - Preferred sectors include internet and consumer services, with selected high beta, high-quality, and relatively undervalued stocks such as BYD, Wuliangye, Anta, and Haidilao [1]