The analyst rating from Daiwa is based on the expectation that China's GDP target for 2026 will be set around 5%, which may indicate forthcoming stronger economic stimulus measures. The report suggests that if the target is confirmed during China's "Two Sessions," it could lead to fiscal stimulus aimed at fixed asset investment, consumption, and real estate. Despite the low likelihood of large-scale stimulus, the introduction of gradual measures and strong policy assurances could enhance investment sentiment in the short term, positively impacting the Chinese stock market and benefiting Daiwa's top picks.
