Hong Kong stocks opened higher on Thursday despite an overnight selloff in US technology shares, with the Hang Seng Index briefly dipping to 22,803.77 points before recovering.
The three major indices extended gains in the afternoon session, pushing the Hang Seng Index back above the 23,000-point mark, while the Hang Seng Tech Index rose more than 2%.
At the close, the Hang Seng Index gained 0.69% or 158.69 points to 23,093.37 points, with total daily turnover of HK$249.784 billion. The Hang Seng China Enterprises Index rose 0.87% to 7,756.25 points, and the Hang Seng Tech Index climbed 2.05% to 3,871.66 points.
For the full week, the Hang Seng Index fell 4.52%, the China Enterprises Index dropped 4.58%, and the Hang Seng Tech Index declined 5.76%.
Industrial Securities believes that earnings, valuations and capital flows have yet to form a resonance, and conditions for a full index-level reversal remain insufficient. On allocation strategy, the brokerage suggests seizing short-term rebound and structural opportunities while waiting for catalysts over the medium to long term. It noted that dividend plays still hold value as a core holding, and upward revisions to earnings expectations are an important clue for structural opportunities. It also advised paying attention to the value transformation of the "new Hang Seng Tech" and patiently waiting for valuation repairs supported by liquidity tailwinds.
Blue-Chip Performance
BYD Company (01211) put in a standout performance, closing up 6.23% at HK$71.6 with turnover of HK$3.66 billion.
Citigroup recently published a research report stating that three factors could help establish a valuation floor for BYD Company and potentially pressure short positions in the market. These include the removal of policy uncertainty, limited downside for Western European exports in fiscal year 2027, and a less pessimistic outlook for both export and domestic market prospects in fiscal year 2027.
Among other blue chips, Aluminum Corporation of China (02600) rose 6.97% to HK$7.14, China Hongqiao Group (01378) gained 5.55% to HK$19.02, CATL (03750) advanced 5.44% to HK$356.8, while BOC Hong Kong (02388) fell 1.57% to HK$48.88.
Hot Sectors
The AI supply chain staged a strong reversal, with computing hardware and large model stocks moving higher. Robotics concept shares surged, as 51WORLD recently joined Nvidia's Halos SAFE ecosystem and its shares jumped 30%, while Zhaowei Machinery & Electronics extended gains by 16.44%.
Automobile and lithium battery stocks rose across the board, with BYD Company up 6.23%. Consumer shares broadly recovered, with Bloks Group up 12.64%. Aluminum stocks strengthened collectively, with Aluminum Corporation of China up 6.97%.
On the other side, spot gold briefly fell below US$4,000 during the session, and gold stocks showed mixed performance, with Zijin Gold International down 1.14%.
AI Hardware Stocks Rebounded in the Afternoon
At the close, Kinwong Electronic (03228) rose 8.63% to HK$64.2, GigaDevice Semiconductor (03986) gained 8.62% to HK$347.8, Victory Giant Technology (02476) advanced 4.93% to HK$149, and Zhongji Innolight (03308) climbed 4.21% to HK$754.5.
At midday on October 23, Zhongji Innolight, Eoptolink Technology and T&S Communications jointly issued business updates to shore up confidence. Zhongji Innolight stated that production and operations are entirely normal, the supply chain is stable, capacity utilization is sufficient, and customer order demand is strong, with downstream demand maintaining high prosperity and a full order book.
It is worth noting that recently, as market concerns about the AI boom have intensified, global technology stocks have come under considerable selling pressure. JPMorgan said in its latest research report that the recent selloff in AI-related stocks may be nearing its end.
Humanoid Robotics Concept Stocks Surged
At the close, 51WORLD (06651) jumped 30.31% to HK$65, Seer Intelligent (06106) surged 24.91% to HK$66.95, Zhaowei Machinery & Electronics (02692) gained 16.44% to HK$39.8, and Leaderdrive (03952) rose 15.33% to HK$31.14.
Unitree Robotics hit the 20cm limit-up in the afternoon, with its total market capitalization returning above 250 billion yuan, directly igniting sentiment in both markets. Wang Xingxing, Chairman, General Manager and Chief Technology Officer of Unitree Robotics, said on October 22 at the 2026 World Physical AI Conference and Unitree Partner Ecosystem Conference that the ChatGPT moment for embodied intelligence could arrive as early as next year.
Meanwhile, advances in GPT-6 and Gemini 4 in robot planning, spatial perception and Real-to-Sim modeling are broadening the space for general-purpose large models to participate in robot development and training. On the hardware side, domestic complete machine manufacturers and Optimus mass production ramp-up are accelerating, and Tesla is expected to release Optimus V3 in the fourth quarter, bringing industry development into a new stage.
Automobile and Lithium Battery Stocks Rose
At the close, XPeng Inc.-W (09868) rose 5.10% to HK$37.12, NIO Inc.-SW (09866) gained 4.11% to HK$26.32, Li Auto Inc.-W (02015) advanced 3.92% to HK$45.08, and CATL (03750) climbed 5.44% to HK$356.8.
According to analysis by the China Association of Automobile Manufacturers, in September, automobile exports continued to maintain high-speed growth, with both passenger vehicle and commercial vehicle exports increasing on a month-on-month and year-on-year basis, and the share of new energy vehicle exports exceeding 50% for four consecutive months. From January to September, China's automobile exports reached 8.205 million units, up 65.8% year-on-year, and full-year automobile exports are expected to exceed 10 million units.
In addition, Huaxi Securities stated that the lithium battery sector has undergone sufficient adjustment, and market doubts about the extent of demand growth in the second half of the year and next year have gradually been reflected in share prices. As market expectations recover subsequently, the top choice is CATL, a lithium battery leader with a solid moat and advantageous position across the upstream and downstream industrial chain.
Consumer Stocks Rebounded
At the close, Bloks Group (00325) rose 12.64% to HK$61.5, Mao Geping (01318) gained 6.53% to HK$47.62, China Tobacco Hong Kong (06055) advanced 4.60% to HK$26.38, and Shenzhou International (02313) climbed 4.46% to HK$37.04.
On October 23, a负责人 of the Department of Market Operation and Consumption Promotion of the Ministry of Commerce stated that in the first three quarters of 2026, the role of consumption as the "main engine" continued to consolidate, and the advantages of the super-large market became increasingly prominent. In the first three quarters, final consumption expenditure contributed 46.7% to economic growth, 0.7 percentage points higher than in the first half, driving GDP growth by 2.1 percentage points and continuing to remain the primary driving force of economic growth.
CITIC Securities stated that some consumer sectors currently have low holdings, low valuations, high dividends and potential policy expectations, presenting phased allocation opportunities.
Notable Stock Movements
MINIMAX-W (00100) showed strong momentum, closing up 16.74% at HK$187.6.
On October 23, MiniMax open-sourced the M3.1 Flash model, which processed over 100 trillion tokens within 72 hours of launch. Compared with the previous generation M3 model, the M3.1 Flash model achieved comprehensive capability improvements while reducing usage costs by 70%.
Kingdee International (00268) rose significantly, closing up 7.33% at HK$9.23.
Kingdee International's AI-native product signed contract value reached 1.002 billion yuan in the first three quarters. At the end of September, subscription ARR was approximately 4.604 billion yuan, up about 19.3% year-on-year. Net new ARR in the third quarter grew about 46.9% year-on-year. The net dollar retention rates (NDR) for Kingdee AI Xinghan, Kingdee AI Xingkong and Kingdee AI Xingchen were 101%, 97% and 95%, respectively.
Pony.ai-W (02026) moved higher in the afternoon, closing up 5.88% at HK$39.64.
Pony.ai announced the signing of memoranda of cooperation with global mobility and delivery platform inDrive and Nvidia to jointly promote the implementation of autonomous driving mobility products and applications. Kazakhstan will become the first pilot market for this cooperation, marking Pony.ai's first expansion of its global business footprint into Central Asia.
Sheung Ko Mei Group (08371) saw its share price plunge, closing down 23.66% at HK$1.565.
The Hong Kong Securities and Futures Commission announced on October 22 that it has launched proceedings against Chairman Huang Yishan, Chief Executive Chen Huizhen and six others over suspected manipulation of the company's share price to facilitate a GEM-to-Main Board listing. The SFC alleged that the individuals artificially pushed the share price up and maintained it at around HK$1.32 to meet the minimum market capitalization requirement of HK$500 million for the transfer.
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