Market Overview
▪ The three major indices of the Hong Kong stock market experienced slight adjustments by midday, with short-term momentum slowing down.
▪ The Hang Seng Index closed at 26,851.69 points by midday, down 0.27%.
▪ The Hang Seng Tech Index closed at 5,815.63 points by midday, down 0.22%.
▪ The China Enterprises Index reported 9,229.77 points by midday, down 0.40%.
Sector Performance
▪ The life sciences tools and services sector showed volatility at midday, with mixed performances among leading stocks. WuXi Biologics fell 0.90%, with a transaction volume of HKD 7.367 billion. The company's major shareholders have entered into a block trade agreement with Morgan Stanley to place 150 million shares. Crystal International Holdings rose 1.12%, WuXi AppTec rose 1.00%, showing slight divergence, overall lacking clear catalysts, with a heavy wait-and-see atmosphere in the market.
▪ The retail sector continued to show volatility, with mixed performances among leaders. Alibaba -W rose 1.09%, with a transaction volume of HKD 7.028 billion, showing strong performance and attracting capital attention. JD.com -SW fell 0.96%, Miniso fell 0.98%, indicating that the expectations for consumer recovery remain unclear, leading to selective allocation in the market.
▪ The internet content and information sector showed mixed performances, with the overall sector lacking clear positive factors. Tencent Holdings fell 0.80%, Kuaishou -W fell 2.20%, Bilibili -W rose 0.70%, with major leaders undergoing short-term adjustments, cautious trading in the market, and capital mainly flowing towards segmented growth stocks.
Macroeconomic Background
▪ Recently, the Hong Kong stock market has focused on the fluctuations in the RMB exchange rate and the impact of changes in external demand on exports and retail performance.
▪ The unemployment rate and CPI trends are also under scrutiny, with capital flows and manufacturing activity becoming short-term focal points for the market.
▪ Under the current macroeconomic environment, investors are operating relatively conservatively, with capital flowing towards structural industrial opportunities.
Popular Stocks
▪ Synagistics (2562.HK) rose 17.34%, with a transaction volume of HKD 1.468 billion. By midday, the company, as an AI and SaaS concept stock, has shown unusual upward movements for several consecutive trading days, with significant capital buying appearing multiple times during the day, but investors should be wary of ongoing volatility risks.
▪ Tianyue Advanced (2631.HK) rose 15.76%, with a transaction volume of HKD 471 million. The stock price benefited from the overall boom in the semiconductor sector and favorable chip-related policies, surging significantly during the day, with major capital significantly involved. The properties of silicon carbide materials reinforce expectations for industry recovery.
▪ MINIMAX-WP (100.HK) rose 12.85%, with a transaction volume of HKD 490 million. The company announced the launch of its self-developed AI intelligent body system, driving continued market enthusiasm for large models and artificial intelligence investments, strengthening its leading position in the AI sector, with ongoing capital inflows.
▪ Huashang Energy (206.HK) rose 26.92%, with a transaction volume of HKD 15.96 million. Driven by rising international crude oil prices, energy sector stocks generally rebounded, with the company showing significant short-term gains, while caution is advised regarding crude oil price and policy volatility risks
▪ Derin Holdings (1709.HK) rose 11.59%, with a transaction volume of HKD 403 million. The company's subsidiary has been approved for a full license for &#34;trading + consulting&#34; of digital assets in Hong Kong, enhancing its layout in fintech and digital asset businesses. The news has continued to attract market attention.
Market Transaction Volume TOP10
▪ WuXi Biologics (02269.HK) latest transaction price HKD 39.66, down 0.90%, transaction volume HKD 7.367 billion
▪ Alibaba -W (09988.HK) latest transaction price HKD 166.40, up 1.09%, transaction volume HKD 7.028 billion
▪ Tencent Holdings (00700.HK) latest transaction price HKD 617.00, down 0.80%, transaction volume HKD 5.701 billion
▪ Pop Mart (09992.HK) latest transaction price HKD 180.20, down 4.76%, transaction volume HKD 3.768 billion
▪ SMIC (00981.HK) latest transaction price HKD 78.35, up 1.29%, transaction volume HKD 3.449 billion
▪ Trip.com Group -S (09961.HK) latest transaction price HKD 458.80, down 0.26%, transaction volume HKD 3.180 billion
▪ Xiaomi Group -W (01810.HK) latest transaction price HKD 37.26, down 1.58%, transaction volume HKD 3.022 billion
▪ Kuaishou -W (01024.HK) latest transaction price HKD 77.80, down 2.20%, transaction volume HKD 1.800 billion
▪ Hua Hong Semiconductor (01347.HK) latest transaction price HKD 101.20, up 1.76%, transaction volume HKD 1.687 billion
▪ Youran Dairy (09858.HK) latest transaction price HKD 4.49, up 4.42%, transaction volume HKD 1.648 billion

The Hong Kong stock market saw a slight adjustment during the midday session, with the Hang Seng Index down 0.27%, the Hang Seng Tech Index down 0.22%, and the National Enterprises Index down 0.4%. There was a clear divergence among mainstream sectors, with pharmaceuticals, retail, and the internet showing volatility. Alibaba rose over 1% against the trend, while WuXi Biologics, Tencent, and Kuaishou adjusted. AI concept stocks and the semiconductor sector were prominent, with SYNAGISTICS and TianYue Advanced among the top gainers, as funds focused on leading companies in specific industries. On the macro level, fluctuations in the RMB exchange rate, manufacturing activity, and capital flow remain key points of market attention, with a strong wait-and-see sentiment and weakened short-term momentum

- The Hong Kong stock market showed slight adjustments with major indices, such as the Hang Seng Index dropping 0.27% to 26,851.69 points.  
- Notable movements included Lionbridge Holdings rising by 17.34%, attributed to AI and SaaS investments, while various sectors displayed mixed performances amidst uncertain consumer recovery expectations.  
- Market participants are focusing on macroeconomic factors, including currency fluctuations and external demand, resulting in conservative investment strategies.

Market Heartbeat

XTALPI

WUXI APPTEC

JD-SW

MNSO

KUAISHOU-W

BILIBILI-W

SYNAGISTICS

SICC

MINIMAX-WP

CM-ENERGY

DL HOLDINGS GP

POP MART

SMIC

WuXi Biologics

BABA-W

Alibaba

WUXI BIO

Hong Kong Stock Midday Review | The Hang Seng Index fell 0.27% during the session, with technology and AI concepts active, SYNAGISTICS surged 17.34%