【Top Headline】 MIIT: National Ironmaking and Steelmaking Capacity Replacement Ratios Set at No Less Than 1.5:1 On May 18, according to the Ministry of Industry and Information Technology (MIIT) website, the MIIT issued the "Notice on Issuing the Implementation Measures for Capacity Replacement in the Steel Industry." Key revisions include: The national capacity replacement ratio for ironmaking and steelmaking shall be no less than 1.5:1. The ratio for mergers and reorganizations is increased to no less than 1.25:1. Capacity swaps between different enterprises will be gradually phased out, with a 2-year transition period set for such swaps. After the transition period, capacity transfer can only be achieved through substantive mergers and reorganizations. The validity period of replacement plans is clarified as 24 months. This involves Hong Kong-listed steel sector stocks: Chongqing Iron & Steel Company Limited (01053), Maanshan Iron & Steel Company Limited (00323), Angang Steel Company Limited (00347), China Oriental Group Company Limited (00581), and China Hanking Holdings Limited (03788).
【Market Outlook】 WTI Crude Oil Futures Settle at $102.49 per Barrel, Up 1.46% Overnight in US markets, at the close, the Dow Jones Industrial Average rose 159.95 points to 49,686.12, a gain of 0.32%. The S&P 500 index fell 5.45 points to 7,403.05, a decline of 0.07%. The Nasdaq Composite Index fell 134.41 points to 26,090.73, a drop of 0.51%. Major tech stocks were mixed: Netflix rose over 3%; Amazon, Microsoft, and Google posted modest gains. Tesla fell nearly 3%, Nvidia dropped over 1%, while Meta and Apple saw slight declines. The Philadelphia Semiconductor Index fell 2.47%, with Seagate Technology down nearly 7%, and Micron Technology, Applied Materials, and SanDisk all falling over 5%. The Nasdaq Golden Dragon China Index declined 0.72%, with Li Auto down nearly 10% and Zai Lab falling over 8%. The Hang Seng Index ADR rose, calculated proportionally to close at 25,779.26 points, up 104.08 points or 0.41% from the Hong Kong close. The NYMEX WTI crude oil front-month contract rose $1.47 to settle at $102.49 per barrel, up 1.46%. The COMEX gold front-month contract rose $8.90, or 0.20%, to $4,570.8 per ounce.
【Hotspot Watch】 China International Capital Corporation Limited (03908): Company's A-Share Swap Price Set at RMB 36.68 per Share CICC announced that the company plans to issue CICC A-shares to all A-share swap shareholders of Dongxing Securities in exchange for their Dongxing Securities A-shares, and to all A-share swap shareholders of Cinda Securities in exchange for their Cinda Securities A-shares. CICC's A-share swap price is RMB 36.68 per share. Dongxing Securities' A-share swap price is RMB 16.05 per share. Cinda Securities' A-share swap price is RMB 19.11 per share. Based on the above formula, the swap ratio between Dongxing Securities and CICC is 1:0.4376, meaning each Dongxing Securities A-share can be swapped for 0.4376 CICC A-shares. The swap ratio between Cinda Securities and CICC is 1:0.5210, meaning each Cinda Securities A-share can be swapped for 0.5210 CICC A-shares.
China Railway Construction Corporation Limited (01186) Subsidiary Wins Bid for New Engineering Facilities Project at Dubai World Central Airport for Emirates China Railway Construction Corporation Limited (01186) announced that recently, its subsidiary China Railway 18th Bureau Group Co., Ltd. won the bid for the New Engineering Facilities Project at Dubai World Central Airport for Emirates. The project amount is approximately AED 17.5 billion. The project, invested in by Emirates, has a total construction area of about 1.21 million square meters. The main construction scope includes building a maintenance hangar, a paint hangar, and related supporting facilities. The project duration is 50 months.
Jiaxin International Resources Holdings Limited (03858) Signs Non-Binding MoU with PMF for Priority Acquisition of Central Asian Mineral Projects The company and PMF intend to jointly seek mineral resource development opportunities, primarily targeting the Republic of Kazakhstan as the key region, with potential extension to other Central Asian countries and other regions mutually agreed upon in writing. The Board believes that the polymetallic deposits in the target region contain various strategic mineral resources such as copper, zinc, lead, silver, tungsten, and molybdenum, aligning with the company's development strategy.
Jinxin Resources Holdings Limited (03636) Subsidiary Plans to Invest in Construction of Jinxin Congo (DRC) Copper-Cobalt Smelting Supporting Sulfuric Acid Plant Project Jinxin Resources Holdings Limited (03636) announced that, according to business development needs and to improve the industrial chain supporting copper-cobalt smelting in the Democratic Republic of the Congo (DRC), reduce production costs, and enhance operating performance, it plans for its subsidiary Jinxin Congo (DRC) Mining Co., Ltd. to invest in the construction of the Jinxin Congo (DRC) Copper-Cobalt Smelting Supporting Sulfuric Acid Plant project. The project is located in Kolwezi City, DRC. The total project investment is approximately RMB 90 million, with a construction period of about 12 months. Funding will be self-raised by the subsidiary Jinxin Congo (DRC) Mining Co., Ltd.
Tencent Music Entertainment Group (01698) Completes Acquisition of Himalaya Tencent Music Entertainment Group (01698) announced that on May 18, 2026, pursuant to the terms of the Merger Agreement, the acquisition of Himalaya has been completed. Accordingly, the equity securities of Himalaya held by relevant Himalaya shareholders and Himalaya's employee stock ownership plan participants have been cancelled in exchange for the merger consideration, which includes (subject to applicable adjustments): (1) a maximum cash amount of US$1.26 billion; and (2) up to a total of 175 million Company's Class A ordinary shares (including newly issued Class A ordinary shares by the Company at closing, and Class A ordinary shares related to equity-based incentives granted by the Company).
Yaojie Ankang-B (02617) Proposes Placing 3.836 Million Shares at Approximately 18.01% Discount to Raise Net Proceeds of HK$152 Million Yaojie Ankang-B (02617) announced that on May 19, 2026 (before the trading session), the Company and the Placing Agent entered into a Placing Agreement, whereby the Placing Agent conditionally agreed to act as the Company's placing agent on a best-efforts basis to procure placees to subscribe for 3.836 million Placing Shares at a placing price of HK$40.83 per Placing Share.
Standard Chartered PLC (02888) Outlines Sustainable Growth Plan, Targeting Approximately 18% Return on Tangible Equity (ROTE) by 2030 Standard Chartered announced it aims to achieve an ROTE above 15% by 2028, an increase of over 3 percentage points from 2025, and to raise it to approximately 18% by 2030. It targets high double-digit earnings per share compound annual growth rate (CAGR) and 5-7% income CAGR from 2025 to 2028. Leveraging positive income-to-cost growth spread, it aims for a cost-to-income ratio of about 57% by 2028, down from 63% in 2025. By enhancing productivity, it plans to increase revenue per employee by about 20% by 2028 and reduce corporate function-related roles by over 15% by 2030. It will operate within a Common Equity Tier 1 capital ratio range of 13-14%, while maintaining loan loss rates within a through-the-cycle range of 30-35 basis points. It supports a dividend payout ratio of 30% or higher, with a progressive dividend per share.
Lens Technology Co., Ltd. (06613) Proposes to Acquire Controlling Stake in Juteng International (03336) at Approximately 45.68% Discount, Integrating Industrial Chain Lens Technology Co., Ltd. (06613) and Juteng International (03336) jointly announced that on May 18, 2026, the Offeror, Lens Technology (06613), proposed to acquire approximately 334 million Juteng International (03336) shares from Mr. and Mrs. Cheng Li Yu and Nan Ya, representing about 27.81% of the total issued shares as of the date of this joint announcement, for a total consideration of approximately HK$734 million, equivalent to about HK$2.20 per Sale Share. The maximum cash amount payable by the Offeror for full acceptance of the offer is approximately HK$1.906 billion. The Offeror intends to acquire shares of Juteng International (03336) to ultimately become its controlling shareholder. Juteng International (03336) will become a non-wholly owned subsidiary consolidated within the Offeror's financial statements.
Viela Bio-B (09887): Phase III Clinical Study of Vellicent™ (PD-L1/4-1BB Bispecific Antibody Opatisumab, LBL-024) for Advanced Extra-Pulmonary Neuroendocrine Carcinoma Approved by CDE Viela Bio-B (09887) announced that the Center for Drug Evaluation (CDE) of the National Medical Products Administration (NMPA) of the People's Republic of China has approved the conduct of a confirmatory Phase III clinical study evaluating Vellicent™ (PD-L1/4-1BB bispecific antibody Opatisumab, LBL-024) combined with platinum-based chemotherapy as first-line treatment in patients with advanced extra-pulmonary neuroendocrine carcinoma (EP-NEC). This approval marks the successful advancement of Opatisumab's clinical development for EP-NEC from later-line monotherapy to first-line combination therapy. Previously, Opatisumab had received CDE approval for a single-arm pivotal registration clinical study for patients with EP-NEC in the third-line and beyond. The approval of this first-line Phase III study further expands the applicable patient population for Opatisumab in the EP-NEC field, fundamentally reshaping the treatment landscape for this cancer type.
【Stock Spotlight】 Baidu Group-SW (09888) Q1 Revenue RMB 32.1 Billion; Intelligent Cloud Infrastructure Revenue Up 79% Baidu Group-SW (09888) released its 2026 first quarter results. Revenue was RMB 32.1 billion. Baidu Core revenue was RMB 26.0 billion. Net profit attributable to Baidu was RMB 3.4 billion, with a Baidu net profit margin of 11%. In Q1 2026, Intelligent Cloud Infrastructure revenue was RMB 8.8 billion, a year-on-year increase of 79%. GPU Cloud revenue grew 184% year-on-year. Baidu Core AI new business revenue exceeded RMB 13.6 billion, up 49% year-on-year.
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