Geopolitical Risks and Fed Rate Expectations Influence Hong Kong Stocks

Global geopolitical risks remain a concern, and expectations for a Federal Reserve rate cut have decreased, according to Jin10. Galaxy Securities anticipates continued volatility in Hong Kong stocks. In terms of investment strategy, they recommend focusing on several key sectors: Firstly, the technology sector remains a long-term investment focus. Factors such as price increases in the supply chain, domestic substitution, and accelerated AI application are expected to drive upward movement. Secondly, the energy and precious metals sectors are likely to experience fluctuations due to unpredictable geopolitical situations. Lastly, the consumer sector is currently undervalued. With the approach of the Lunar New Year, policies to boost consumption are expected to increase, potentially leading to a rebound in this sector.