The Global Luxury market is forecasted to grow to US$444 billion (RMB3.1tr) by 2025, with Chinese customers expected to account for over 40%. However in the near term, the luxury goods sector could see more volatility as a number of investor concerns and potential headwinds have re-emerged.
The National People's Congress approved the revised Land Management Law on August 26, which will go effective on January 1. Citi analysts examine the economic implications of rural land reform in China.
Hong Kong government measures to boost home ownership
By Jessica Tan
Though a series of measures were announced by the Hong Kong Chief Executive to encourage home ownership last week, Citi analysts feel high housing prices may stay. Property developer stocks offer deep discount to NAV and relatively high dividend yield.
Delaying Additional Tariffs Enough to Lift Short-Term Sentiment
By Jessica Tan
US-China reach a verbal agreement on the first phase of a deal during trade talks last week. While the ceasefire may not be a long-term solution, it may be good enough for markets in the short-term.
Policy measures and resumption in trade talks raise odds that 2H growth may be better than expected. Bond benchmark inclusions could also help support the currency and bond markets.
Hong Kong: Have we Passed the Peak in Political Tensions?
By Celestee Tan
Hong Kong equities surged 3.9% on 4th Sept 2019, on the back of Hong Kong leadership’s decision to scrap the controversial extradition bill in an effort to calm protests. Whilst there may still be pockets of unrest, Citi analysts believe that protests may recede.
