asian equities were mixed but mostly lower overnight though mainland china was an outlier to the upside real estate and energy were bright spots in both hong kong and mainland china on positive policy news and opec meetings today meituan’s earnings slightly disappointed on the bottom line but the top line continues to see healthy growth compared to its peers the implementation of new pandemic rules for the company’s key business food delivery clearly impacted its bottom line nonetheless the company registered significant growth in its food delivery instore hotel and travel segments the fact that the travel segment saw growth in the quarter is somewhat shocking given the lockdowns in china it is important to note that the company’s margins have improved from both the fourth quarter of 2021 and the first quarter of 2021 but it is still in growth mode   earnings per share eps was rmb 080 versus an estimated rmb 074 the ministry of industry and information technology miit yesterday officially kicked off rural auto subsidy promotions and the ministry of finance extended the purchase tax cut to most vehicles below the rmb 300000 price point meanwhile tianjin city will grant an additional quota for 35000 passenger car licenses this year while guangdong province will offer purchase subsidies of rmb 8000 per vehicle for new energy vehicle nev upgrade purchases until june 30 we have witnessed a series of favorable policies for the property market since the april 29th politburo meeting the people’s bank of china pboc china’s central bank cut the mortgage rate lower limit for a firsttime home buyer by 20 basis points bps on may 15th meanwhile more than 30 cities have published documents outlining policies to encourage home sales overnight shares in developers central china real estate and jiayuan international group holdings rose 10 after announcing the sale of key assets the former will sell itself to an entity controlled by henan province according to reports existing easing measures may support growth ahead of the 20th cpc national congress however most analysts believe more policies will be needed to stabilize growth and fuel a stronger rebound particularly demandstimulating policies focused on real estate and internet platforms in addition to existing easing measures cicc expects offshore china equities to deliver 3 earnings growth for fullyear 2022 with a potential turnaround in the consumer services and internet sectors the hang seng and hang seng tech indexes closed 100 and 080 respectively on volume that decreased 18 from yesterday real estate was the best performing sector while consumer discretionary lagged shanghai shenzhen and the star board closed 042 069 and 468 respectively on volume that was only a touch higher than yesterday consumer discretionary and energy were the best performing sectors in mainland china while information technology lagged