The Hang Seng Index opened high but fell low, barely holding the 26,000 mark at midday. Alibaba and CNOOC supported the market, while Meituan fell nearly 3% against the trend | Hong Kong Stock Market Opening

Hong Kong stocks opened high and then fell. The Hang Seng Index rose 155 points at the market open this morning, with the increase once expanding to 231 points, peaking at 26,264 points. However, it began to weaken after nearly 11 a.m., and by noon, it had only risen 27 points or 0.11%, reporting at 26,060 points, barely holding above the 26,000 mark, with half-day turnover at HKD 98.9 billion. In terms of the Tech Index, it reported 5,614 points at noon, having "turned negative" by 29 points or 0.53%.

Among blue-chip stocks, Alibaba (9988) released an update on its image generation and editing model Qwen-Image and integrated it with the Qianwen App. The stock rose 1.5% to HKD 157.3 for the half-day, along with CNOOC (883) rising 2.2% and BYD (1211) rising 1.8%, providing strong support to the market.

JP Morgan Downgrades Meituan Earnings Forecast and Cuts Target Price

In contrast, Meituan (3690) fell nearly 3% during the half-day, dragging down the market. On the news front, JP Morgan lowered its earnings forecast for Meituan's fourth quarter by 31% to reflect the declining profitability of its in-store business. They believe that there is limited room for reassessment until clearer evidence shows that profit margin trends are more predictable, core takeaway business competition behavior becomes more rational, and the framework for international expansion becomes more disciplined. They maintained a "Neutral" rating but cut the target price from HKD 100 to HKD 95.

In terms of stock price fluctuations, Xinyi Glass (868) rose 2.6% during the half-day, while Anta (2020) and CITIC (267) also rose over 2%, performing better among blue chips. CITIC Securities stated that although the core contradiction in the demand for float glass still lies in the real estate sector's drag, automotive glass and large home appliances contribute structural increments, indicating that overall demand has certain resilience. The firm also noted that based on past cycles, float glass is at the tail end of a downward cycle, with current industry profits and valuations at historical lows, and the buybacks by leading companies demonstrate confidence in future development.

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Before Federal Reserve Chairman Jerome Powell's speech at 9 a.m. Hong Kong time today, all three major U.S. stock indices fell on Monday, with the Dow Jones down 427 points or 0.9%, reporting at 47,289 points; the S&P 500 down 36 points or 0.53%, reporting at 6,812 points; and the Nasdaq down 89 points or 0.38%, reporting at 23,275 points. As for the Golden Dragon Index, which reflects the performance of Chinese concept stocks, it rose 0.87% to 7,860 points on Monday.

Bitcoin Rebounds After Dropping to USD 83,822

With expectations for a rate hike in Japan in December heating up, the USD/JPY exchange rate once reached 154.67, with the yen's gains narrowing, now reporting at 155.67; the U.S. Dollar Index also saw a slight rebound this morning, rising 0.03% to 99.44. Bitcoin plummeted on Monday, dropping to USD 83,822, but has since rebounded this morning, now reporting at USD 86,604. In contrast, gold prices fell this morning, currently down 0.36% to USD 4,216.

Among focus stocks, Nvidia (NVDA) invested USD 2 billion in chip design tool manufacturer Synopsys (SNPS), becoming the seventh-largest shareholder, which stimulated Synopsys to rise 4.9% to USD 438.29; NVIDIA also rose 1.7% to $179.92.

Several automakers announced November delivery data

In the Hong Kong stock market, the Hang Seng Index opened up 155 points this morning, reporting 26,188 points. Tech stocks generally performed well, with Alibaba (9988) rising 3.3% at the opening; Tencent (700) up 1%; Meituan (3690) down 0.05%; JD.com (9618) unchanged. As for Xiaomi (1810), which announced over 40,000 vehicle deliveries in November, it opened up 0.6%.

In addition to Xiaomi, several automakers announced their November delivery data, with BYD (1211) achieving sales of 480,200 vehicles in November, a year-on-year decrease of 5.3% but a month-on-month increase of nearly 9%, with its stock price opening up 1.1%; Nio (9866) delivered 36,275 vehicles in November, a year-on-year increase of 76%, but its stock price fell over 6%; XPeng (9868) delivered 36,728 vehicles in November, a year-on-year increase of 19%, with its stock price down 1.6%; Li Auto (2015) delivered 33,181 vehicles in November, a year-on-year decrease of 32%, and its stock price also fell 0.6%.

Sangfor Technologies plans a 6.5% discounted placement

In individual stock news, Sangfor Technologies (1530) plans to place 105 million shares to raise HKD 3.115 billion, equivalent to 4.14% of the expanded issued share capital, with a placement price of HKD 29.62 per share, a discount of 6.5% compared to the previous closing price of HKD 31.68. The stock opened at HKD 30.7, down 3%.

Regarding northbound capital flows, there was a net purchase of HKD 2.148 billion in Hong Kong stocks yesterday, with Alibaba (9988), ZTE Corporation (763), and Meituan (3690) receiving net purchases of HKD 1.321 billion, HKD 606 million, and HKD 595 million, respectively; while SMIC (981), CNOOC (883), and China Pacific Insurance (2328) saw net sales of HKD 303 million, HKD 272 million, and HKD 129 million, respectively