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| HSI1 | 24,448.95 | -32.91 | 173.71B |
| HSCEI1 | 8,260.15 | -13.95 | 54.80B |
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2026-11-09 14:43:41 JPMorgan published a research report stating that Hong Kong bank stocks underperformed the HSI and the Hang Seng Finance Sub-index by 4% and 6%, respectively, in October, reflecting market concerns over deposit competition squeezing NIM and capital erosion caused by rising market yields as shown in third-quarter results. The broker believes market concerns over margin pressure caused by deposit competition may be excessive, as banks are proactively managing funding costs largely in anticipation of further rate hikes, while Hong Kong dollar liquidity remains ample. In other words, if HIBOR stays below 3% for an extended period, deposit competition may ease, or asset yields may eventually be repriced upward, driving NIM expansion. The broker said third-quarter results showed that STANCHART (02888.HK) delivered stronger EPS growth and expansion in return on tangible equity. The operating performance of BOC HONG KONG (02388.HK) was in line with expectations, but room for upward earnings revisions by the market is limited. HSBC HOLDINGS (00005.HK), meanwhile, may see its share price remain range-bound due to weaker trends in net interest income and wealth management income, until investors gain greater clarity on its 2027 growth outlook or until its dividend yield shows a clear premium over the four major state-owned banks. JPMorgan gave STANCHART (02888.HK) an Overweight rating with a TP of HKD290; BOC HONG KONG (02388.HK) was rated Overweight with a TP of HKD53.3; HSBC HOLDINGS (00005.HK) was also rated Overweight with a TP of HKD185. (ha/da)~ AASTOCKS Financial News Website: www.aastocks.com This article was automatically translated by AI, the Chinese version should be considered the authoritative version. AASTOCKS.com Limited does not guarantee its accuracy or completeness and accepts no liability for any damages or losses arising from the use of this translation. | |