Utility stocks in Hong Kong traded mostly higher. At the time of writing, Datang Power (00991) rose 7.63% to HK$2.68. Huaneng Power (00902) advanced 3.37% to HK$6.45. Huadian Power (01071) increased 3.16% to HK$4.24. China Longyuan (00916) gained 2.4% to HK$6.41.
The positive movement follows a press conference held by the State Council Information Office this morning, which detailed industrial and information technology developments for the first quarter of 2026. Vice Minister of Industry and Information Technology Zhang Yunming stated that computing power infrastructure has become a critical foundation driving artificial intelligence development. The ministry is currently conducting research on computing-power coordination policies and formulating relevant standards.
Guotai Haitong Securities previously noted that under the computing-power coordination concept, market interest has expanded from initially smaller-cap green power companies to smaller-cap thermal power firms, and then to some larger-cap thermal power enterprises. The institution believes the benefits of computing-power coordination are beginning to extend to adjustable power sources, suggesting that both national power plants and leading local thermal power companies may present phased investment opportunities.
Additionally, in the domestic power market last week, spot electricity prices in Guangdong showed a significant increase. Everbright Securities pointed out that the substantial rise in Guangdong's spot power prices reflects comprehensive market energy costs and the functional premium of thermal power. The spot market is expected to become another important revenue channel for thermal power. Combined with a marginal significant improvement in thermal power generation from January to March, the securities firm recommends focusing on thermal power operators with strong earnings flexibility and attractive valuations.
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