China Consumer Staples_ 4Q24 Preview_ Looking for a better start into 2025 after a reset in 4Q24; Watch out for policy roll-out

The staples sector is up c.7% YTD (on a mkt cap weighted avg basis) and up c.6% on average this week (vs. MSCI China YTD rally at 20%). Meanwhile, we observe market sentiment gradually improving with steadier consumer confidence index and higher interest in potential upside from policy stimulus implementation (see our Europe marketing feedback takeaways) post the Two Sessions this year which ranks domestic consumption demand recovery as one of the top priorities. Therefore, we expect that market would likel ...