These Are the Stocks to Watch as Australia Resets Relations With China
- Winemakers have rallied on anticipation of tariffs removal
- Curbs still apply to some Australian beef exports, lobsters
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Improving relations between Beijing and Canberra are brightening the outlook for Australian stocks that have faced trade restrictions, with winemakers and some agricultural sectors seen as major beneficiaries.
Treasury Wine Estates Ltd. rallied 15% last quarter as expectations mounted that China will lift punitive tariffs on Australia’s wine exports. Analysts expect the stock to gain another 7.9% from Wednesday’s close, according to price targets compiled by Bloomberg. Some curbs still remain on products like beef and lobsters, the removal of which may support related stocks.