UBS strategists suggest investors maintain a selective layout for the UK stock market. High inflation, high interest rates, and the scale of government borrowing may limit the upside of the stock market. The team, led by Sultania Cheddar, believes that the performance of the UK economy was better than expected, and profit forecasts were raised, but at the same time, the economic improvement was accompanied by higher inflation and higher financing costs. UK funds continue to experience capital outflows, and investors' willingness to participate is sluggish; UBS said that improvements in economic data have not yet translated into broad market confidence. Compared to the European market, UK stocks are still undervalued. However, UBS believes that the investment logic is increasingly biased towards individual stock opportunities rather than looking at the British market as a whole; funds with high yield British treasury bonds continue to flow out, weakening market appeal.

UBS strategists recommend investors maintain a selective layout for the UK stock market. High inflation, high interest rates, and the scale of government borrowing may limit the upward space in the stock market. The team, led by Sultania Cheddar, believes that the performance of the UK economy was better than expected, and profit forecasts were raised, but at the same time, the economic improvement was accompanied by higher inflation and higher financing costs. UK funds continue to experience capital outflows, and investors' willingness to participate is sluggish; UBS said that improvements in economic data have not yet translated into broad market confidence. Compared to the European market, UK stocks are still undervalued. However, UBS believes that the investment logic is increasingly biased towards individual stock opportunities rather than looking at the British market as a whole; funds with high yield British treasury bonds continue to flow out, weakening market appeal.