**Key Highlights** The revised U.S. Biosecurity Bill will be included in discussions for the 2026 National Defense Authorization Act (NDAA). Unlike earlier versions that explicitly named companies like WuXi AppTec, the updated bill does not specify any firms but mandates the White House Office of Management and Budget to compile a restricted list within a year of passage, referencing Defense Department inputs. The House Rules Committee will convene on December 10 at 5:00 AM Beijing time to deliberate.
**Market Outlook** HSI ADRs rose 0.10%, while U.S. indices were mixed: Dow fell 0.38%, S&P 500 dipped 0.09%, and Nasdaq gained 0.13%. Broadcom hit a record high (+1.29%), and silver stocks surged (Pan American Silver +11%). Chinese ADRs mostly declined, with Baidu down 4% and XPeng and Li Auto dropping over 3%. Strategas notes post-Fed volatility could mark the largest single-day swing since March.
**Hot Topics** - **Trump on Rate Cuts**: Former President Trump signaled that immediate rate cuts would be a litmus test for his potential Fed chair nominee. - **Indonesia’s Mining Crackdown**: New fines target illegal mining, with nickel firms facing the harshest penalties. HK-listed companies like CNGR (02245) and Zhongwei New Materials (02579) may be impacted. - **Hong Kong Property**: Centaline predicts a 10% price rise in 2026, driven by sustained demand across residential, rental, and investment segments.
**Corporate Updates** - **Polysilicon Reserve**: A new platform, Beijing Guanghe Qiancheng Tech, was established with a ¥3B capital. Industry sources estimate total funding for capacity consolidation at ¥20B–30B. - **KE Holdings (02423)**: Chairman Peng Yongdong sold ADS worth $42M for charitable donations, his first divestment since IPO. - **China Mobile**: Parent co’s stake diluted to 68.9993% due to share option exercises. - **SERES (09927)**: Founder Zhang Xinghai revealed the M8 SUV surpassed sales expectations, with 130K units delivered in 7 months (16K in November). - **GEELY AUTO (00175)**: Completed selection for Zeekr privatization, issuing 777M shares (~7.7% of equity) and $701M in cash. - **PATEO (02889)**: Secured a next-gen smart cockpit project with a leading EV OEM, leveraging Qualcomm’s 8397 platform for AI-driven solutions. - **China Boton (03318)**: Secured ¥2.27B compensation for land acquisition in Shenzhen, shares to resume trading December 10.
**Biotech & Pharma** - **Fosun Pharma (02196)**: Subsidiary Youcare licensed oral GLP-1R agonist rights globally to Pfizer for $150M upfront + $350M milestones. - **Qyuns Therapeutics (02509)**: Received $5M milestone payment as QX030N cleared Australian Phase I ethics review. - **BaoJi Pharma-B (02659)**: Dark pool surged 114% pre-debut, pricing at HK$56.5 vs. IPO HK$26.38.
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