Market Analysis | Semiconductor stocks plummeted significantly, with Shanghai Fudan dropping over 18% and Hua Hong Semiconductor falling over 11%

Semiconductor stocks plunged sharply. As of the time of publication, Shanghai Fudan fell by 18.7% to HKD 20; Kangtelong fell by 18.92% to HKD 0.15; Hua Hong Semiconductor fell by 11.52% to HKD 28.7; Hongguang Semiconductor fell by 7.89% to HKD 1.4; SMIC fell by 5.86% to HKD 31.35. On the news front, the chip semiconductor sector in the Hong Kong stock market plummeted sharply this morning, after surging on high volume in the previous two trading days. SMIC surged more than 52% over the past two days, while Hua Hong Semiconductor surged 47%. Analysts believe that the short-term outbreak of chip stocks in the Hong Kong stock market is closely related to fund sentiment. Reviewing historical market trends, it is not difficult to find that every major market rally often sees technology stocks being the first to be favored by funds. In addition, analysis points out that the strong fundamental recovery is also a major reason for funds flowing into the semiconductor sector