A person sporting a face masks rides a bicycle, because the nation is hit by an outbreak of the novel coronavirus, in Beijing, China February 12, 2020.
Carlos Garcia | Reuters
Morgan Stanley analysts are so cautious on China they’re downgrading a as soon as sizzling sector — and turning to some particular person shares.
A number of uncertainties, akin to inflation, monetary policy tightening and greater regulation on Chinese technology companies, will weigh on the general market, Asia fairness strategists wrote in a mid-year China shares outlook on Might 17.
On this surroundings, one of many few certainties is that pricing energy will likely be a key driver of outperformance this 12 months, the analysts wrote. That makes inventory choosing a essential funding technique, they stated.
Listed here are 5 of their high picks amongst mainland Chinese language and Hong Kong markets for shares set for double-digit features: