[Zhenzhuo Institutional View] The U.S. stock market shows resilience amid severe volatility. Southbound Stock Connect recorded a net inflow of HKD 7.31 billion on Friday.

$TENCENT(00700.HK) The U.S. stock market showed resilience amid sharp volatility, with the S&P 500 index rising slightly by 0.16% to 6,977 points, setting a new all-time closing high for the second consecutive trading day. The current market focus is on the U.S. Department of Justice issuing a grand jury subpoena to Federal Reserve Chairman Powell, an unprecedented move indicating that the Trump administration's challenge to the Fed's independence has entered the judicial level. This administrative intervention has raised high concerns among investors about the stability of monetary policy, leading to a surge of safe-haven funds into precious metals, pushing gold prices to a historic breakthrough of $4,600 per ounce. Ahead of the upcoming December inflation data, the market's difficulty in predicting future interest rate paths and policy premiums has significantly increased.

Southbound Stock Connect recorded a net inflow of HK$7.31 billion on Friday, with Kuaishou-W (01024.HK) recording the largest net inflow of HK$2.25 billion, followed by $TENCENT(00700.HK) ; $CHINA MOBILE(00941.HK) recorded the largest net outflow of HK$1.03 billion, followed by $MEITUAN(03690.HK) .

Source: KGI Securities