Here is a summary of the key headlines from the major Chinese financial newspapers for Wednesday, July 8th.
China Securities Journal
The People's Bank of China (PBOC) has pledged to support more high-quality companies in listing and issuing bonds in Hong Kong. Governor Pan Gongsheng stated at the Hong Kong Money and Fixed Income Summit that a significant number of high-quality mainland firms have long accessed the Hong Kong capital markets, and the central bank will continue to facilitate this trend. Furthermore, the PBOC will continue to increase the proportion of China's foreign exchange reserves allocated to assets in Hong Kong, providing sustained momentum for the development of the local capital market.
China's foreign exchange reserves experienced a slight decline at the end of June. Data from the State Administration of Foreign Exchange (SAFE) showed reserves stood at $3.4163 trillion, down $26 billion from the end of May. SAFE attributed the decrease to factors including the rising US dollar index and mixed price movements in global financial assets, influenced by major economies' data and central bank policies.
Multiple positive factors are converging, presenting a window for a phased recovery in the Hong Kong stock market. The Hang Seng Tech Index recently posted its largest weekly gain this year, narrowing its year-to-date decline.
Tungsten prices have retreated from their highs, with some companies lowering their long-term contract product prices for the first half of July. The price for 65% black tungsten concentrate has fallen significantly from its peak earlier in the year.
Shanghai Securities News
The PBOC reiterated its support for more quality firms to list and issue bonds in Hong Kong, aiming to expand the scale and scope of the southbound Bond Connect scheme and increase the allocation of national forex reserves to Hong Kong assets. Governor Pan noted the enhanced competitiveness of Hong Kong as an international financial center, with strong IPO activity since 2025.
Strong demand is driving high production and sales growth, leading to a cluster of positive earnings forecasts from lithium battery material companies for the first half of the year. Industry sources report robust demand for materials like lithium carbonate, with operations running at full capacity.
The AI sector rally is moving into a new phase, shifting from broad-based gains to a stage focused on earnings delivery. The market is becoming highly sensitive to marginal changes, as seen in reactions to news from major global tech firms.
The chemical industry's recovery continues, with several companies issuing positive profit forecasts for H1 2026, benefiting from factors like global energy price trends and improved domestic supply-demand dynamics.
Securities Times
An earnings preview from Samsung Electronics triggered a stock sell-off, highlighting intensifying competition in the memory chip market for the second half. Despite forecasting a massive profit increase, Samsung's shares fell sharply, dragging down other memory-related stocks globally.
China's innovative drug sector saw nearly $100 billion in outbound licensing deals in the first half of 2026, a significant increase year-on-year. This trend is reshaping the value chain of the pharmaceutical industry.
Energy storage demand is boosting performance, with numerous lithium battery companies forecasting strong profit growth for the first half. Companies like Zangge Mining have reported substantial year-on-year increases in net profit.
The PBOC has increased its gold reserves for the 20th consecutive month, while China's foreign exchange reserves have remained above $3.4 trillion for three months in a row.
Securities Daily
The China Securities Regulatory Commission (CSRC) has vowed to strictly investigate and punish the fabrication and dissemination of false or misleading information related to securities and futures. It has initiated a case against an individual for spreading false information about a listed company.
The National Financial Regulatory Administration (NFRA) and the Shanghai Municipal Government have jointly issued measures to accelerate the development of Shanghai into an international reinsurance center.
The Zhengzhou Commodity Exchange has introduced two optimization measures, including adding new delivery areas for soda ash, to better serve the photovoltaic glass industry and align with shifts in the industry's production and sales landscape.
The aerospace information industry is transitioning from "technology verification" to "large-scale commercial application," entering a golden period of development. A recent major exhibition in Beijing highlighted this trend towards industrial transformation.
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