Jinwu Financial News | Guoyuan International said that the current consolidation of the Internet sector continues, and in the short term, caution is still the main focus. The bank believes that the US dollar index continues to strengthen, compounded by macroeconomic risk releases that fall short of expectations, leading to a contraction in liquidity in overseas markets, causing capital to flow from Asia Pacific and Europe to the US market. In the short term, on the one hand, Hong Kong stocks are greatly affected by external risk sentiment and capital flows, and market performance is facing pressure from falling short of expectations in terms of fundamental data and declining capital risk appetite. However, on the other hand, the market is also waiting for policies to be implemented to speed up the restoration of economic fundamentals, so Hong Kong stocks will currently be in a volatile pattern. Therefore, it is currently possible to focus on growing small and medium-sized enterprises with high dividends, stable business, and high growth in the Hong Kong stock Internet sector.
In terms of the US stock market, as market concerns about the extent of the Fed's interest rate cuts ease, the “Trump deal” becomes the focus of the market. The market expects US President-elect Trump to implement tax cuts and relax regulations during his second term, which is beneficial to the recovery of the US economy.
