Citi: Raises the target of the Hang Seng Index to 25,000 points by the end of the year, and the priority list includes Tencent, BYD and Anta

On May 12, Citi released a report saying that it expects moderate government stimulus policies to boost the local economy, which may be more relevant to the consumption, Internet, resources and technology industries. The bank believes that the mainland and Hong Kong stock markets do not appear to be expensive and are slightly below the historical average, so it still holds a constructive view. The bank raised the consumer sector to "overweight" and favored local shares, and hoped to obtain potential gains from the government's stimulus measures; lowered the transportation sector to "neutral", based on the increase in US trade tariffs. The bank also likes large Internet stocks and technology stocks that benefit from government policy support. The bank raised the Hang Seng Index's target for the end of the year from 24,500 points to 25,000 points, and the target for the middle of next year is 26,000 points. The MSCI China index, which includes Tencent, Huaneng Guodian, BYD, AIA and Anta, has raised its year-end target to 79 from 78 and to 82 by the middle of next year.