JP Morgan Private Bank: Expects the Federal Reserve to cut interest rates twice, opportunities exist in Chinese innovative stocks
JPMorgan Chase private bank global investment strategist Chen Weiheng stated that he expects the Federal Reserve to have two rate cuts in the future, slightly less than market expectations, and continues to recommend reducing cash holdings and locking in yields through high-quality credit products. He said, "As China and the U.S. enter an unstable 'transactional ceasefire' phase, both sides are shifting from broad tariffs to more targeted policy tools, which will impact specific industries — we believe there are opportunities to accumulate Chinese innovative stocks on dips." Regarding stocks, he believes that earnings growth and capital expenditure increases in the technology sector will drive the U.S. market higher, while other sectors will perform more broadly under stable macro fundamentals
According to the Zhitong Finance APP, Chen Weiheng, a global investment strategist at JP Morgan Private Bank, expects the Federal Reserve to have two rate cuts in the future, slightly less than market expectations, and continues to recommend reducing cash holdings and locking in yields through high-quality credit products. He stated, "As China and the U.S. enter an unstable 'transactional ceasefire' phase, both sides are shifting from broad tariffs to more targeted policy tools, which will impact specific industries — we believe there are opportunities to position in Chinese innovative stocks on dips."
Regarding stocks, he believes that earnings growth and capital expenditure adjustments in the technology sector will drive the U.S. market higher, while other sectors will perform more broadly under stable macro fundamentals
