Investment Rating - The industry investment rating is "Outperform the Market" [1][36] Core Viewpoints - Economic performance is steadily recovering, but consumer confidence still needs further boosting. In June 2025, the total retail sales of consumer goods reached 4.2 trillion yuan, with a year-on-year increase of 4.8%. The GDP for the first half of 2025 was 66.05 trillion yuan, reflecting a year-on-year growth of 5.3% [1][3] - The overall economic operation in the first half of 2025 was stable, with consumption playing a significant supporting role. The total retail sales for the first half of 2025 reached 24.55 trillion yuan, a year-on-year increase of 5.0% [3][4] Summary by Sections Economic Performance - The GDP growth for the first half of 2025 was 5.3%, with contributions from the primary, secondary, and tertiary industries at 3.6%, 36.2%, and 60.2% respectively. The growth pace aligns with the annual target of 5% [3][4] - The retail sales of goods increased by 5.1%, while restaurant income grew by 4.3% in the first half of 2025. The service retail sales also saw a year-on-year growth of 5.3% [3][4] Consumer Confidence - The average urban unemployment rate in the first half of 2025 was 5.2%, showing stability, but consumer confidence has not significantly improved. The consumer confidence index was at 88.0 in May, indicating a low level of confidence [3][4] Investment Recommendations - The report suggests focusing on companies likely to benefit from the recovery in tourism and travel demand, such as Lingnan Holdings and Tongcheng Travel. Other recommended companies include those in the business and exhibition sectors, as well as various hospitality and entertainment firms [3][4]

Core Points - The Zhengzhou government has issued a set of 18 policy measures to accelerate the development of the Henan Zhongmou New Area, marking a significant step in the implementation of the Zhengkai urban integration strategy [1] Group 1: Planning and Governance - The Zhongmou New Area, established as the first provincial-level new area in Henan, aims to enhance urban integration and support Zhengzhou's role as a core city in the Central Plains urban agglomeration [2] - The policy measures include integrating the new area's planning into the overall Zhengzhou planning system, allowing for unified management and coordination with key city plans [2] - The new area will receive delegated development and economic management powers, providing it with greater autonomy to respond to market demands and attract businesses [2] Group 2: Innovation and Industry Development - The measures promote the gathering of innovative resources by supporting collaboration with the Central Plains Science and Technology City and establishing a demonstration zone for technology transfer [3] - Key industries such as intelligent connected vehicles, biomedicine, and modern food will be prioritized for development, with significant infrastructure projects receiving policy support [4] - The government will also direct funds towards high-quality manufacturing and the development of industrial clusters [5] Group 3: Infrastructure and Living Environment - The policy emphasizes the construction of essential infrastructure, including transportation projects and urban renewal initiatives, to create a livable and business-friendly environment [6] - Social services such as healthcare and education will be expanded in the new area, aligning with the standards of Zhengzhou's central urban area [7] Group 4: Financial Support and Talent Development - An annual budget of 500 million yuan will be allocated for the new area's development over three years, demonstrating the government's commitment [8] - The measures encourage the establishment of partnerships with financial institutions and support for high-level talent recognition and training programs [8]