Lyon: The sharp rise in domestic housing stocks did not see a specific catalyst or was driven by capital inflows and expectations for investment in urban renewal

The Zhitong Finance App learned that Lyon released a research report saying that the stock prices of major domestic housing stocks showed a sharp rise across the board this afternoon. Major domestic housing stocks listed on Hong Kong stocks rose by between 5% and 14%, and some A shares even hit rising and stopping restrictions. The bank's preferred stock performance was strong. China Resources Land (01109) rose 7.3%, China Jinmao (00817) rose 14%, and Yuexiu Real Estate (00123) rose 10%. The bank notes that it has not found any specific catalysts that directly triggered this strong rebound.

Lyon analysts believe that the current upward trend may reflect the following factors: 1. With no improvement in fundamentals, capital inflows from other sectors into domestic housing stocks coincided with the bank's forecast to bottom out in the fourth quarter; 2. The market may have underestimated the impact of Beijing's policy easing over the weekend, as the sector only recorded a low unit increase on Monday after the relevant policies were announced; 3. The scale of investment in urban renewal during the “15th Five-Year Plan” planning period may be as high as 15 trillion yuan, reminding that even after the market undergoes deep adjustments, the scale of investment in the mainland real estate industry is still larger than in fields such as artificial intelligence, etc. The total market value of housing stocks is only A small portion of AI-related companies.