HSBC is optimistic about A-shares and focuses on opportunities in the new consumer track.

HSBC recently released its latest views on the current investment market, expressing optimism towards A-shares and continuing to have confidence in sectors with high-quality growth styles. Kuang Zheng, Chief Investment Officer of HSBC Private Banking and Wealth Management China, believes that the focus of monetary policy will be on strengthening policy transmission, promoting a decline in the overall social financing cost, and advancing the use of structural monetary policy tools. In terms of support, funding for industries such as technological innovation, service consumption, and elderly care may be increased. In the consumer sector, benefiting from the trade-in subsidy policy, the retail sales of household appliances and audio-visual equipment, and furniture have achieved strong year-on-year growth of 30.7% and 22.9% respectively from the beginning of the year. At the same time, new trends and hotspots in Chinese consumption continue to emerge, with new consumption trends such as tea drinks, trendy toys, light luxury goods, and pets quickly gaining popularity.