According to a research report by CICC, the Chief Executive of the Hong Kong Special Administrative Region, Li Jiachao, proposed in his 2023 Policy Address that the stamp duty rate for stock trading will be reduced from the current 0.13% to 0.1%. For the market, in the short term, the reduction in stamp duty may provide more emotional boost. Based on historical experience, after the reduction of stamp duty, the index level is expected to experience a phased boost, but the pattern is not consistent, indicating that a sustained rebound also requires more fundamental factors to cooperate; In the medium to long term, reducing stamp duty is beneficial for reducing transaction friction costs, enhancing market liquidity, and enhancing market transaction volume hubs.