Hong Kong Stock Midday Review | Three major indices collectively fell, technology and retail sectors under pressure; EASY SMART GP surged 74.27%, with outstanding trading activity
The main indices of the Hong Kong stock market fell in unison during the midday session, with the Hang Seng Index, Technology Index, and National Enterprises Index all entering a phase of high-level fluctuations. The technology and retail sectors led the decline, with leading companies such as Alibaba and Tencent Holdings facing funding pressure. Market sentiment is cautious, with some small-cap stocks like EASY SMART GP and Debao Group Holdings showing significant fluctuations and high capital activity. At the macro level, volatility is limited, and the market is focused on consumer data and capital flows
Market Overview
▪ As of noon, the three major indices of the Hong Kong stock market generally retreated, with market sentiment being weak.
▪ The Hang Seng Index reported 25,843.01 points at midday, down 0.97%, failing to continue the upward trend from the previous day, and still has a gap from the stage high created on December 2.
▪ The Hang Seng Tech Index latest reported 5,551.14 points, with a decline of 1.3%, also failing to refresh yesterday's high.
▪ The National Enterprises Index reported 9,067.52 points, down 1.26% from the previous trading day, retreating from yesterday's high.
▪ Overall, the major indices are in a high-level consolidation phase, with signs of cooling in the short-term upward momentum.
Sector Performance
▪ The retail sector overall declined, dragged down by the retreat of major stocks, with the leading Alibaba down 1.97%, trading volume at HKD 4.253 billion. Although its recent Qianwen App achieved the fastest growth in the global AI application rankings, short-term funds chose to cash in on profits. Other retail leaders like JD.com fell 0.26%, and Miniso dropped 2.32%, with a general lack of significant capital inflow in the sector, increasing market wait-and-see sentiment.
▪ The internet content and information sector generally declined, with Tencent Holdings down 1.05%, trading volume at HKD 3.202 billion. Kuaishou and Baidu fell 1.67% and 0.61%, respectively, indicating the market's overall cautious attitude towards the internet industry's prospects, with leading stocks in the sector under continued pressure and risk aversion rising.
▪ The hardware, storage, and peripherals sector continued its downward trend, with Xiaomi Group down 0.79%, trading volume at HKD 1.916 billion. Lenovo Group fell 1.31%, despite the mainland China tablet market's shipment volume increasing by 9% year-on-year, and Lenovo's shipment growth rate reaching 71%. Its upward momentum failed to sustain and strengthen the sector, reflecting that the overall sector relies on structural benefits but lacks significant capital inflow.
Macroeconomic Background
▪ Recently, the macro indicators of the Hong Kong stock market have shown limited fluctuations, with limited economic data disclosures. The market continues to closely monitor retail sales and other consumption-related data performance, while also being concerned about the impact of global capital flows on local foreign exchange reserves. Currently, overall investor sentiment is leaning towards a wait-and-see approach, with no significant substantive push from the macro front, and market performance is more influenced by sector rotation and individual stock movements.
Popular Stocks
▪ EASY SMART GP (2442.HK) rose 74.27%, with a trading volume of HKD 207 million. Although there is no significant latest news driving this, capital has clearly flowed in, pushing the stock price up significantly, reflecting a short-term preference for small-cap stocks.
▪ Debao Group Holdings (8436.HK) rose 30.65%, with a trading volume of HKD 177 million, also with no major public disclosures. Market activity and turnover rate increased, with a strong short-term speculative atmosphere.
▪ China Hong Kong Energy (931.HK) rose 23.81%, with a trading volume of HKD 107.287 billion. This stock's trading volume significantly exceeded that of other stocks, becoming the focus of the entire market's trading. There is no major public information available, but the huge trading volume indicates active participation from major market funds, and investors need to pay close attention to its volatility risk ▪ Quantitative 派 (2685.HK) rose 16.31%, with a trading volume of HKD 246 million, influenced by increased short-term market attention and sustained capital inflow, but whether this can continue remains to be seen.
▪ Xiangxing International (1732.HK) rose 16.67%, with a trading volume of HKD 604 million, showing no latest news support but significant capital drive, with small-cap stocks in the sector overall active.
Market Trading Volume TOP10
▪ Alibaba -W (9988.HK) latest trading price HKD 153.9, down 1.97%, trading volume HKD 4.253 billion
▪ Tencent Holdings (700.HK) latest trading price HKD 610.5, down 1.05%, trading volume HKD 3.202 billion
▪ Xiaomi Group -W (1810.HK) latest trading price HKD 40.38, down 0.79%, trading volume HKD 1.916 billion
▪ Meituan -W (3690.HK) latest trading price HKD 95.85, down 0.67%, trading volume HKD 1.76 billion
▪ Kuaishou -W (1024.HK) latest trading price HKD 67.8, down 1.67%, trading volume HKD 918 million
▪ XPeng -W (9868.HK) latest trading price HKD 75.7, down 3.87%, trading volume HKD 856 million
▪ Pop Mart (9992.HK) latest trading price HKD 217.4, down 0.64%, trading volume HKD 843 million
▪ AIA Group (1299.HK) latest trading price HKD 79.85, down 1.18%, trading volume HKD 834 million
▪ China Construction Bank (939.HK) latest trading price HKD 7.9, down 0.69%, trading volume HKD 814 million
▪ Zijin Mining (2899.HK) latest trading price HKD 33.18, up 1.41%, trading volume HKD 799 million
