On April 22, A-shares opened lower but then advanced, with the three major indices initially climbing across the board before showing divergent trends. Stocks related to the lithium battery industry chain and optical modules surged, with Xiangfenghua and Changguang Huaxin both hitting the 20% daily limit. Shipping and defense sectors adjusted, while leading liquid cooling server company Envic continued to fall by the daily limit.
Hong Kong stocks opened lower and extended losses, with both the Hang Seng Index and the Hang Seng Tech Index down over 1% in early trading. Technology and internet stocks declined collectively, with major tech heavyweights like Tencent, Alibaba, Meituan, and JD.com generally retreating. CATL's H-shares fell nearly 5%, following reports that Sinopec sold CATL H-shares at a discount, cashing out over $7.68 billion.
In the bond market, treasury bond futures rose across the board, with the 30-year contract up 0.5%. In commodities, most domestic commodity futures advanced, with polysilicon rising 3%. Key market movements:
A-shares: As of writing, the Shanghai Composite Index was up 0.05%, the Shenzhen Component Index up 0.13%, and the ChiNext Index down 0.02%.
Hong Kong stocks: As of writing, the Hang Seng Index was down 1.02%, and the Hang Seng Tech Index was down 1.71%.
Bond market: Treasury bond futures were all higher. As of writing, the 30-year contract was up 0.52%, the 10-year contract up 0.09%, the 5-year contract up 0.05%, and the 2-year contract up 0.02%.
Commodities: Domestic commodity futures were mostly higher. As of writing, polysilicon was up 4.7%, the containerized freight index was up over 2%, while fuel oil, eggs, soybean meal, crude oil, caustic soda, ethylene glycol, and rapeseed were all up over 1%. Rubber, coke, asphalt, lithium carbonate, coking coal, propylene, nickel, industrial silicon, glass, iron ore, alumina, hot-rolled coil, and rebar also rose. Copper, pulp, aluminum, methanol, stainless steel, platinum, palladium, gold, and tin declined, with silver falling over 2%.
10:07 CATL's H-shares fell nearly 5%. A report stated that, according to a term sheet reviewed by Reuters, Sinopec planned to sell 8.5 million H-shares of the Chinese electric vehicle battery maker for approximately $7.685 billion.
The terms indicated the shares were sold at HK$708 per share, a discount of about 3.8% from CATL's Tuesday closing price of HK$736, representing a relatively modest discount. According to transaction terms seen by Bloomberg, the company planned to sell about 8.5 million shares, with an offering price range of HK$702.90 to HK$717.60 per share. If priced at the upper end of the range, the cash-out size would reach $7.79 billion.
10:01 The Hang Seng Tech Index's intraday loss widened to 2%, with Tencent Music and Bilibili down over 4%.
09:57 Treasury bond futures extended gains, with the 30-year contract rising 0.53% to 114.29 yuan, hitting its highest level since December 3, 2025.
09:44 The battery industry chain surged, with Xiangfenghua hitting the 20% limit, Chuanyi Technology reaching the limit-up, Zhenhua New Materials rising over 10%, and Zhidongli and BTR New Material also posting significant gains.
09:39 CPO concept stocks surged again, with Changguang Huaxin up over 16% to a fresh record high. Dongshan Precision, Shijia Photons, and Taichen Optics also advanced.
According to the latest research from TrendForce, the global market for AI-specific optical transceiver modules is entering a phase of rapid growth. It is estimated the market size will expand from $165 billion in 2025 to $260 billion in 2026, representing year-on-year growth of over 57%.
09:33 Liquid cooling server concepts weakened again, with Envic falling by the daily limit for a second consecutive session. Dayuan Pump Industry, Jialitu, Oulutong, Yimikang, and Chuanhuan Technology also declined.
09:26 The Shanghai Composite Index opened 0.25% lower, while the ChiNext Index fell 0.77%. Commercial aerospace, space-based solar, lithium mining, and AI application themes led the declines. The lithium battery industry chain bucked the trend and strengthened.
09:21 The Hang Seng Index opened 0.69% lower, and the Hang Seng Tech Index fell 1.02%. Baidu Group, Alibaba, JD.com, Tencent Music, and JD Health were down over 2%, while Meituan, Bilibili, and XPeng Group were among the top decliners.
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