Huajin Securities has issued a research report indicating that, based on historical analysis, policies, external events, market fundamentals, and liquidity conditions are the primary drivers influencing the trajectory of A-shares in June. The report anticipates that A-shares will sustain a robust yet volatile performance throughout June this year, with events like the World Cup expected to exert only a marginal influence. Regarding industry allocation, the technology sector is likely to continue its prominence in June, and it is advisable to take positions at lower levels. Specifically, industries such as electronics (including semiconductors and AI hardware), communications (AI hardware), electrical equipment and new energy (AI power supply and lithium batteries), military industry (commercial aerospace), media (AI applications and gaming), computers (AI applications), as well as non-ferrous metals, chemicals, and innovative pharmaceuticals, are poised for growth, driven by supportive policies and industry trends. Additionally, sectors such as securities firms and consumer goods, where fundamentals are projected to improve or experience catch-up rallies, are also worth considering.
