Guotai Asset Management says China innovative drug selloff is trading-driven, fundamentals intact
XLV•Near-term momentum may slow
Guotai Asset Management said near-term upside momentum may slow, and pointed to potential buy-the-dip, phased positioning once volatility stabilizes.
Firm sees fundamentals as intact
The firm said it saw no fundamental deterioration. It cited a mid-year earnings-driven recovery, easing geopolitical overhangs, resilient CXO demand and steady BD activity.
Guotai Asset Management says the selloff is trading-driven
Guotai Asset Management flagged a fresh selloff in China’s innovative-drug stocks, extending Friday’s sharp pullback.
- Trading-driven retreat hit vaccine names and AI drug-discovery themes; short-term funds took profits as the broader A-share rebound faded into range trading.
- STAR Market innovative-drug shares tracked a broader STAR index drop, eroding relative performance versus Hong Kong-listed innovative-drug stocks.
