China's Internet, Food and Beverage Stocks Favored, UBS Says

The video discusses the current market conditions, focusing on the Internet and food and beverage sectors, which are benefiting from COVID-related changes. Despite some earnings upgrades, the market faces challenges due to COVID resurgence and US-China relations. The short-term outlook is cautious, but supportive fiscal policies in China offer potential long-term gains. The market is awaiting changes in COVID policies, particularly post the 20th Party Congress, which could influence strategies.

What sectors does the equity strategist prefer and why?

How has the COVID resurgence impacted the earnings of companies in the Internet sector?

What are the expectations for earnings growth in China according to the consensus forecast?

What factors are contributing to the cautious outlook on the equity market?

What signs is the strategist looking for regarding changes in COVID policy?