Hong Kong stocks opened lower and extended losses by midday. The benchmark Hang Seng Index fell 0.93% to 25,160.25 points, while the Hang Seng Tech Index dropped 1.79% and the Hang Seng China Enterprises Index lost 0.85%.
Internet and technology stocks were broadly lower, with JD.com (JD) tumbling over 10% and Meituan falling more than 5%. Gold stocks reversed early losses to rally, with China Gold International Resources Corp. Ltd. (CHINAGOLDINTL) surging over 12%. The JD Group's logistics arm also saw heavy selling, with JD Logistics (JD LOGISTICS) plunging more than 12%. Innovative drug concept stocks weakened, with Hengrui Medicine dropping over 4%.
Gold stocks rally after early dip
Gold miners rebounded from a weak start, led by China Gold International Resources Corp. Ltd. (CHINAGOLDINTL), which surged more than 12%. On August 13, the company reported its 2026 interim results, posting sales revenue of approximately US$914 million, up 57.52% year-on-year. Mine operating profit soared 123.83% to about US$620 million, while profit attributable to equity holders jumped 153.31% to roughly US$507 million, with earnings per share of 127.99 US cents. Total gold production fell 18% to 72,300 ounces from 88,200 ounces in the same period of 2025. Copper output totaled 78.6 million pounds (approximately 35,671 tonnes), a slight increase from 77 million pounds (about 34,924 tonnes) in the same period of 2025.
JD Group heavyweights under severe pressure
Shares of JD Group companies were hit hard, with JD Logistics (JD LOGISTICS) falling more than 12%. After the market close yesterday, JD.com (JD) reported its 2026 second-quarter results. Total revenue for the quarter was 346.4 billion yuan (RMB), down 2.9% year-on-year, marking the first quarterly revenue decline since its 2014 listing. The drop was attributed to a high comparison base in the same period of 2025 and weak demand for consumer electronics, with merchandise revenue falling 5.4% from a year earlier.
Innovative drug concept stocks weaken
Innovative drug concept stocks softened, with Hengrui Medicine losing more than 4%. According to Zhongtai Securities, since 2026, China's innovative drug industry has gradually entered a phase of value realization. The sector's logic has shifted from relying on BD event catalysts to overseas commercialization, clinical data validation, and sustained revenue contributions. Recent earnings reports from leading overseas pharmaceutical companies continue to validate the value of Chinese innovative drug assets, with multinational corporations (MNCs) gradually raising their strategic positioning of Chinese innovative drugs.
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