Hong Kong's three major indices traded lower in the morning session on August 18. As of press time, the Hang Seng Index fell 0.58% to 25,305 points; the Hang Seng Tech Index dropped 1.47% to 4,711 points; and the HSCEI declined 0.42% to 8,404 points. Mainboard turnover stood at approximately HK$75.4 billion. Oil stocks bucked the downtrend while biotech names broadly advanced; financials, insurers and tech stocks came under pressure.

Oil Stocks Buck the Trend – CNOOC Up Nearly 2%

CNOOC (00883.HK) gained nearly 2% to HK$24.36, while PetroChina (00857.HK) rose over 1% to HK$9.68. Escalating Middle East tensions and the collapse of US-Iran ceasefire talks pushed Brent crude back above US$90 a barrel, giving oil stocks a lift.

Biotech Rallies – WuXi Biologics Climbs Over 4%

WuXi Biologics (02269.HK) surged more than 4% to HK$48.04; BeiGene (06160.HK) advanced nearly 3% to HK$219.80; and Kelun-Biotech (06990.HK) rose close to 2% to HK$532. China's innovative drug out-licensing deal value reached approximately US$110 billion in the first half, a record high, while the National Medical Products Administration approved 38 first-in-class innovative drugs, signalling sustained industry momentum.

Financials and Insurers Under Pressure – AIA Slips Over 2%

AIA (01299.HK) fell more than 2% to HK$71.65; China Life (02628.HK) dropped over 3% to HK$27.08; and Ping An Insurance (02318.HK) declined nearly 2% to HK$53.85. The 30-year US Treasury yield hit its highest since 2007, while data showed foreign holdings of US debt fell sharply in June, weighing on financial sector sentiment.

Tech Mostly Lower – Kuaishou Down Over 3%

Kuaishou (01024.HK) slid more than 3% to HK$38.82; JD.com (09618.HK) fell nearly 2.5% to HK$110.20; Meituan (03690.HK) lost over 2% to HK$85.65; Xiaomi (01810.HK) dropped close to 2% to HK$25.38 ahead of its earnings; and Tencent (00700.HK) declined more than 1.5% to HK$439.20. Baidu (09888.HK) bucked the trend, edging up nearly 1%.

Notable Movers: Chow Sang Sang (00116.HK) issued a positive profit alert, forecasting mid-year earnings to surge over 1.3x year-on-year to HK$2.1–2.2 billion; shares soared nearly 16% to HK$13.99. Tianjie Environmental (01527.HK) guided for a near 7x jump in interim net profit, sending its stock up over 31% to HK$2.37. Zhipu (02513.HK) tumbled more than 14% to HK$1,031.