The number of daily confirmed COVID-19 infections in Hong Kong fell by more than 97% from the peak in early Mar 22, and based on current run rate, it is expected to fall to less than 100 per day very soon. The vaccination rate in Hong Kong has been improving, and the Hong Kong government is expected to gradually release a roadmap for relaxing COVID-19 pandemic prevention restrictions. We believe that names involved in local activities, including transportation and catering companies, will see a recovery as restrictions are eased. Names such as Fairwood [0052.HK], Café de Coral [0341.HK], Tam Jai International [2217.HK], MTR [0066.HK] and Hysan Development [0014.HK] may be treated as beneficiaries. The market is expected to remain volatile, given geopolitical issues and concerns about global liquidity movement. The messages released by the Chinese government, in our view, indicate that further easing is on the way. The NPPA’s resumption of online game approval reaffirms our view to some extent. We expect the market to react positively to further easing and offer trading opportunities. In line with our previous update on 8 Apr, we recommend names such as Tencent [0700.HK], Meituan [3690.HK], Kingdee [0628.HK], Weimob [2013.HK], BiliBili [9626.HK], ZTE [0763.HK], CCB [0939.HK], CITIC Securities [6030.HK], Junshi [1877.HK] and CRG [0390.HK]. The analysis in this report is based on industry and macro figures and may differ from the views of individual analysts, in some cases.