Hong Kong's three major indices collectively moved higher in the morning session. By midday, the Hang Seng Index had climbed 1.19% to 23,154.41, the Hang Seng Tech Index advanced 0.62%, and the Hang Seng China Enterprises Index gained 1.19%.
Market Overview
In terms of sector performance, technology and internet stocks were mostly higher, though Lenovo Group Ltd (HKEX: 992) fell over 3%. Xiaomi Corp (HKEX: 1810) and Meituan (HKEX: 3690) both rose more than 4%, while Kuaishou Technology (HKEX: 1024) and JD.com Inc (HKEX: 9618) gained over 3%. Pork concept stocks led the gains, with Dekon Agriculture and Animal Husbandry Group Co Ltd (HKEX: 2419) surging more than 11%. Gold stocks strengthened, with Zhongjin Gold International Resources Ltd (HKEX: 2099) jumping over 14%. Chipmakers faced selling pressure, with TianShu Zhixin Semiconductor Technology Co Ltd (HKEX: 6922) plunging more than 16%. Anker Innovations Technology Co Ltd (HKEX: 300866) debuted today, falling over 5% on its first trading day.
Pork Stocks Lead Gains
Pork-related stocks were among the top performers, with Dekon Agriculture and Animal Husbandry Group Co Ltd rising over 11%. After months of trading in a low range, live hog prices have recently seen a long-awaited strong rebound. On July 1st, the national average price for foreign three-way hybrid hogs broke through the 10 yuan per kilogram mark, returning to the "10-yuan era" for the first time in over two months. The daily increase reached 4.3%, marking the largest single-day gain in nearly two years. Prices have now risen for four consecutive days, with a cumulative increase of 0.84 yuan per kilogram. Many institutions believe this round of price recovery is not just a short-term rebound but may signal an approaching cyclical turning point. A report from Dongxing Securities noted that capacity reduction will gradually deepen, providing sustained support for the sector's performance.
Gold Stocks Strengthen
Gold stocks showed strength, with Zhongjin Gold International Resources Ltd soaring over 14%. Federal Reserve Chairman Kevin Warsh stated that inflation expectations have moderated over the past month and reiterated that maintaining price stability remains the core policy objective. This overall neutral-to-dovish stance was interpreted by the market as indicating a limited probability of near-term interest rate hikes, thereby reducing bets on a further tightening of the monetary policy path. The market widely believes that the Fed is not currently signaling another imminent rate hike, which reduces upward pressure on real interest rates and indirectly supports gold prices.
Chipmakers Face Pressure
Chip stocks declined, with TianShu Zhixin Semiconductor Technology Co Ltd tumbling more than 16%. On Wednesday, Fed Chairman Kevin Warsh again emphasized that the policy focus remains on curbing inflation, a hawkish tilt that triggered a sharp sell-off in U.S. memory chip and semiconductor stocks that night. However, from a medium to long-term perspective, market research institutions generally continue to signal optimism. Nomura warned that the AI semiconductor cycle is far from peaking, with a potential "epic" supply chain mismatch in the second half of 2026. As capital expenditures by cloud service providers continue to expand, shortages of components like advanced packaging, PCBs, and CCL are expected to drive price increases and earnings revisions upward.
Anker Debuts with Losses
Anker Innovations Technology Co Ltd made its market debut today, falling over 5% on its first day of trading. During the public offering stage, the company's shares were oversubscribed by 27.57 times. The final number of shares allocated to the public offering was 4.6633 million, representing approximately 10% of the total offering. A total of about 36,424 valid applications were received, with 18,453 applications processed. The probability of being allocated a board lot was approximately 30%.
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