CITIC Securities: It is recommended to focus on resources/traditional manufacturing industry pricing weight revaluation and enterprise going global theme in A-share allocation.

The research report from CITIC Securities pointed out that under the triple factors of improved liquidity, geopolitical disturbances, and no short-term risk of AI bubble, Asian stock markets need to focus more on the structural allocation opportunities brought about by changes in fundamental clues. The reversal of the December rate cut expectations of the Federal Reserve eased macro pressure on Asian markets, while stage disturbances such as the Russia-Ukraine conflict under the high operation of the global GPR index and the cash flow support in the AI field and supply chain bottlenecks made extreme bubble narratives difficult to appear. Specific core market views are as follows: 1) A-shares: It is necessary to break through expectations on the fundamentals, and it is recommended to focus on resource/traditional manufacturing industry pricing weight estimates and enterprise outbound main line in terms of allocation, and pay attention to low-crowded varieties and dividend targets. 2) Hong Kong stocks: Benefiting from internal and external catalysts, it is expected to achieve the Davis double hit, and it is recommended to focus on five major directions such as technology, healthcare, and resource products. 3) South Korea's stock market: Based on fundamentals, policies, and liquidity to promote reassessment, it is recommended to focus on industries such as semiconductors/AI. 4) Indian stock market: It has potential for supplementary price increases, and under the background of loose monetary policy, it is recommended to prioritize the allocation of interest rate-sensitive enterprises and consumer sectors, and take a contrarian bullish view on IT services. 5) Japanese stock market: Benefiting from governance dividends and increased foreign investment allocation, focus on four main directions such as industry integration and asset reassessment. 6) Southeast Asian stock markets: Showing signs of recovery, Malaysia is recommended to focus on the AI and data center industry chain; Indonesia is recommended to focus on consumption and new energy vehicles; Thailand is recommended to prefer the consumption and tourism sectors, overall need to closely track macro variables and policy trends.