The Zhitong Finance App learned that domestic insurance stocks fell collectively. As of press release, China Taibao (02601) fell 3.93% to HK$20.8; China Life (02628) fell 2.72% to HK$11.44; and Xinhua Insurance (01336) fell 2.83% to HK$16.46.
Donghai Securities believes that there has been a certain correction in the insurance sector recently, mainly related to market adjustments, but looking forward to the future, assets and liabilities will usher in multi-dimensional improvements. On the debt side, the continued decline in deposit interest rates is expected to further stimulate residents' savings demand. At the same time, the “integration of reporting and banking” promoted through multiple channels effectively reduces insurers' debt costs and remains optimistic about the insurance industry under system optimization. On the asset side, the issuance of ultra-long-term special treasury bonds is expected to stabilize the long-term interest rate center, and the property market combination pushes real estate risks to be further mitigated, and the risk of interest spreads and losses for insurers is expected to gradually decrease.
Guojin Securities pointed out that short-term market sentiment has been repeated. Insurance stocks have followed general market adjustments, market defenses have improved, and insurance stocks are still highly valued at dips. Looking ahead, the asset side of insurance stocks is not expected to recover, and long-term interest rates are still low. It is expected that with the issuance of trillion special treasury bonds, long-term interest rates are expected to stabilize and may continue to fluctuate sideways in the short term; a series of real estate easing policies have been implemented, but the effects of the policy and the boost to economic fundamentals still need to be further observed. It is expected that as the policy side boosts the real estate industry and consumer policies are extended, market fundamentals are expected to be further consolidated.