CICC: Stronger July–August Interim Results May Support A-Share Indexes

China International Capital Corp (CICC) said market attention has recently shifted toward style rebalancing as popular themes have seen high cumulative gains and elevated crowding, according to 36Kr. Overseas, after shipping resumed through the Strait of Hormuz, disruptions to crude supply eased and WTI fell to about $70 a barrel, reducing upward pressure on global inflation, CICC said, adding that Federal Reserve Chair Walsh’s monetary policy stance is still temporarily influencing investors’ expectations for US policy. Domestically, CICC said China’s A-share market is about to enter the interim-report season, and it expects better interim results in July and August to provide some support for indexes; it also said the earlier period of choppy consolidation and rapid style rotation may be nearing its end, with interim earnings gradually becoming the main investment theme.