BEIJING, Feb. 9 (Xinhua) -- China's A-share market is likely to fluctuate for a while in the short term, reported Xinhua Finance citing a research report of Everbright Securities Tuesday.
The judgment was based on the limited foreseeable room for rally on China's A-share market.
Despite China's economic recovery continues, valuation of China's A-share market has been high and the gradual exit of the liquidity boosting policies is expectable, with the only uncertainty lying in the pace of the policy exiting.
Under such circumstances, the research report of Everbright Securities suggests investors focus on four aspects to win better returns from their long-term investment.
First of all, non-ferrous metals and petrochemical sectors are worthy of further attention given the worldwide price rises of resource goods driven by the recovering global economy and ample liquidity environment.
Secondly, automobile and home appliance industries are advised to bet on as warmer domestic consumption will boost auto sales and rebounding exports are expected to fuel up home appliance sales.
Thirdly, investors can also seek long-term investment opportunities in the downward corrections of sectors such as the power equipments, new energy and military industry, all of which boast relatively more optimistic long-term performance prospects.
Fourthly, long-term value of investment in banking sector emerges currently given the low valuation and improving operating conditions amid the volatile equity market. (Edited by Duan Jing with Xinhua Silk Road, duanjing@xinhua.org)
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