STOCKS | Baijiu Shares Surge As Brokerages See Bottoming In Consumer Sector

Baijiu shares surged on Thursday, with Kweichow Moutai peers Gu Yue Long Shan (600059) and Kuaijishan (601579) hitting the daily limit, while Shanxi Fen Wine rose 6.2%, Luzhou Laojiao gained 5.9%, and Gujing Gongjiu, Jiannanchun and Yingjia Gongjiu also advanced strongly, according to ETNet. Cathay Haitong Securities said the consumer sector is showing signs of a bottom, with pessimistic expectations already largely priced in. It added that fund holdings in baijiu stocks have fallen to historic lows, and expects structural opportunities as style rebalancing and valuation recovery combine with macro policy catalysts. Guosheng Securities said first-half financial reports from liquor makers accelerated the clearing of weak players, leaving the industry more clearly split at both ends of the market and showing signs of a cyclical bottom.