AllianceBernstein News

AllianceBernstein has expressed optimism regarding A-shares, citing medium- and long-term investment opportunities linked to China's macroeconomic recovery and corporate earnings growth. The firm anticipates that policy support will stabilize the domestic economy, enhancing the attractiveness of A-shares. A recent report from J.P. Morgan highlights a stronger commitment to economic stabilization in China, indicating a clearer path for the equity market. While detailed stimulus measures are still lacking, the report suggests an optimistic growth outlook for 2025, which has contributed to an end to the cycle of earnings downgrades. Additionally, Goldman Sachs notes that Chinese stocks are poised for a rebound next year, with domestic investors expected to play a more prominent role, favoring A-shares over H-shares in the near term. J.P. Morgan also forecasts strong earnings growth for international stocks in 2025, although it warns of potential risks including disappointing economic growth in China, higher U.S. 10-year yields, a strong dollar, tariffs, and local currency volatility.