Guotai Asset Management flags North America cloud earnings as key risk for AI-linked communications stocks
XLC•Guotai expects AI infrastructure spending to keep accelerating
Longer term, Guotai expects AI infrastructure spending to keep accelerating, projecting 2027 global AI capex near $1.5 trillion.
Guotai sees A-shares still unfinished in their bottoming phase
Guotai Asset Management flagged unfinished “bottoming” in A-shares, citing profit-taking and heavy volatility risk in the near term.
On July 22, the Shanghai Composite rose 0.07%; the Shenzhen Component fell 1.42%; ChiNext dropped 3.23%; and turnover hit CNY 265 billion.
Communications equipment shares fall on post-rally selling and cloud earnings caution
The CSI All-Share Communications Equipment Index slid 3.99%, pressured by post-rally selling and caution ahead of North American cloud earnings.
Meta and Google earnings are seen as key catalysts, while sentiment has also been hit by market disappointment with Google’s latest model updates.
