Movement Alert|NetEase Rises 3.06% in Regular Trading, Hang Seng Index Inclusion Just One Trading Day Away as Southbound Funds Continue Accumulation

Market Focus07-16 10:32

On July 16, NetEase-S rose 3.06% in regular trading, trading at HK$209.0/share, with turnover of HK$336 million.

On the news front, the Hang Seng Index Company previously announced that NetEase will be included in the Hang Seng Index series constituent stocks after market close on July 17, effective July 20. With only one trading day remaining before official inclusion, passive fund allocation expectations continue to serve as a near-term catalyst. Additionally, since its inclusion in Stock Connect on June 30, NetEase has consistently attracted Southbound capital, ranking among the top net purchases by northbound-equivalent flows. The China HK Stock Connect Select 100 and China CSI HK 300 index sample stock inclusions took effect on July 13, reinforcing the incremental capital logic from multiple index additions. Haitung International estimates that NetEase's average daily turnover could increase by approximately 60% following Stock Connect inclusion.

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