The first half of 2024 featured strong economic performances in the US and Japan, contrasted by challenges in China, while the crypto market evolved significantly. The second half focuses on geopolitical impacts, interest rate changes and the crypto landscape's continued development.

This report examines the rapid advancements in Artificial Intelligence (AI), particularly the emergence of large language models like OpenAI's ChatGPT and their impact on the technology sector. It provides a comprehensive overview of key industry players and analyzes their influence on stock markets in the US and China. Notable AI proxy stocks include NVIDIA, AMD, Microsoft, Meta, Google and TSMC listed in the US, and SenseTime, Baidu and Tencent listed in Hong Kong.

In Volume 43, issued March 14, 2024, we highlighted the Hang Seng Index's attractive valuation at a P/E ratio of 8x, which rose to 9.5x by May 20, 2024, after a 16% rally driven by supportive policies. Volume 45 continues our analysis, focusing on the factors from April and May 2024 that fueled the index’s recovery and examining how regulatory changes, geopolitical tensions, and economic stimuli have influenced the Hong Kong capital market from 2020 through 2024.

This edition details the evolution of the crypto market in 2023 and 2024, which have been pivotal periods. Bitcoin, Ethereum and Solana prices have recovered, surged and gained confidence among investors. Key developments like Bitcoin ETF approvals and Ethereum's upgrades highlight increased institutional adoption and technological progress in the crypto ecosystem. This growth reflects a transformative shift in the financial landscape, positioning crypto as viable components of investment portfolios, outperforming traditional assets.

China has been proactively rolling out supportive policies geared towards stabilizing its stock market and sustaining economic growth. In this edition, EquitiesFirst provides an overview of these recent initiatives and their impact on the country’s economic climate in 2024.

Thailand’s performance in 2023 was highlighted by fluctuations in the local equity market and a significant slowdown in inflation. This volume recaps market trends in Thailand over the past year and how EquitiesFirst’s asset-backed financing can help investors capitalize on the country’s resurgence that is expected to continue in 2024.