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| HSI1 | 24,040.34 | +68.05 | 98.10B |
| HSCEI1 | 8,051.67 | +21.13 | 24.86B |
| Back Zoom + Zoom - Block Traded | |
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2026-10-02 17:04:58 Against the backdrop of rising interest rates, weaker market activity and tighter regulation, HSBC Global Investment Research preferred Hong Kong local banks over non-bank financials, as banks can directly benefit from rising NII while asset quality risks remain manageable. The broker was most bullish on BOC HONG KONG (02388.HK) and BANK OF E ASIA (00023.HK), both rated Buy, while maintaining the TP for BOC HONG KONG at HKD58 and the TP for BANK OF E ASIA at HKD21.5. HKMA data revealed that deposit growth accelerated further in August, rising 1.4% MoM and 7.3% YTD, while current and savings account (CASA) deposits hiked 1.3% MoM. Loan growth remained moderate, growing 0.3% MoM and 7% YTD. During the same period, newly approved mortgage amounts fell 28% MoM, markedly below the 12-month MA, reflecting weaker property transactions that may weigh on mortgage loan growth in the coming months. One-month HIBOR lifted to slightly above 3% in late September, higher than the average of about 2.6% in 8M26. If the Fed further raises interest rates in 4Q26 to 2027, the broker expected HKD rates to ascend, benefiting banks' NII. ~ AASTOCKS Financial News Website: www.aastocks.com | |