Analysts have upgraded forecasts for Chinese corporate earnings in 2023, on expectations that its economy will benefit from stimulus measures and the easing of COVID-19 restrictions.
“We expect significant easing in COVID-19 restrictions in the second quarter. We forecast earnings growth of 15%-20% for MSCI China, which would be underpinned by lower commodity prices, improved economic growth and lower asset write-downs,” said James Wong, strategist at UBS.China’s COVID-19 cases remain near record highs.
Industrials and tech firms are also estimated to post a growth of 30% and 23%, respectively, the IBES data shows.
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