According to the CITIC Securities Research Report, in the first week after the National Day, safe-haven funds flowed into banks, and the sector bucked the trend and outperformed major indices. The Securities Regulatory Commission held an expert symposium on the capital market and financial situation over the weekend. The policy signals for stable capital market expectations are clear. In terms of sector investment, from a fundamental perspective, looking forward to the third quarter and the whole year, it is expected that core variables such as interest spreads and asset quality will remain stable, the business pattern is stable, and the profit trend is positive. From a medium-term perspective, the banking sector has entered the end of the risk cycle, and the ROE lead has improved. The absolute ROE ratio of the industry is expected to stabilize this year and next year, in the range of 8% to 9%, helping the sector's valuation increase. It is expected that it will be revalued from “high dividend defense assets” to “high certainty equity assets”. The banking sector will still reflect the upward direction of valuation, and the absolute profit margin will continue throughout the year.

According to the CITIC Securities Research Report, in the first week after the National Day, safe-haven funds flowed into banks, and the sector bucked the trend and outperformed major indices. The Securities Regulatory Commission held an expert symposium on the capital market and financial situation over the weekend. The policy signals for stable capital market expectations are clear. In terms of sector investment, from a fundamental perspective, looking forward to the third quarter and the whole year, it is expected that core variables such as interest spreads and asset quality will remain stable, the business pattern will be stable, and the profit trend will be positive. From a medium-term perspective, the banking sector has entered the end of the risk cycle, and the ROE lead has improved. The absolute ROE ratio of the industry is expected to stabilize this year and next year, in the range of 8% to 9%, helping the sector's valuation increase. It is expected that it will be revalued from “high dividend defense assets” to “high certainty equity assets”. The banking sector will still reflect the upward direction of valuation, and the absolute profit margin will continue throughout the year.