Weekly | Is the Second Bull Market on the Horizon?

HKEX_Comments
10-25

This week, the Hong Kong stock market remained stable, with the $HSI(HSI)$ declining by 1.03%.

Key Economic Developments

On Monday, the PBOC authorized the National Interbank Funding Center to announce the latest Loan Prime Rates (LPR). The one-year LPR decreased to 3.10% from last month’s 3.35%, while the five-year LPR fell to 3.60% from 3.85%, marking a 25 basis point drop for both.

In the same vein, the PBOC executed its first swap operations for securities, funds, and insurance companies, with an operation amounting to 50 billion yuan. This drew participation from 20 institutions, with CICC winning the bid.

Additionally, the Chinese Academy of Social Sciences released a macro-financial analysis report for the third quarter, suggesting the issuance of 2 trillion yuan in special government bonds to establish a stock market stabilization fund, aimed at enhancing the intrinsic stability of capital markets.

Significant Capital Inflows and Sector Performance

Amid these favorable developments, southbound funds saw a substantial net inflow of HK$36.47 billion this week, marking the largest single-week inflow since early 2021.

This week, utilities led the market, while real estate, energy, and finance lagged behind.

Key Events in Hong Kong Stocks This Week

1.The central bank announced an interest rate cut, reducing the LPR by 25 basis points.

2.International gold prices reached new highs.

3.The PBOC conducted its first swap operations, with several brokers participating.

4.The central bank executed 50 billion yuan in swap operations.

5.The Chinese Academy of Social Sciences proposed setting up a stock market stabilization fund.

6.The U.S. Department of Commerce initiated a review, considering the removal of anti-dumping and countervailing duties on certain Chinese solar cells.

7. $CR BEVERAGE(02460)$ saw a 15% increase on its first day of trading.

8.A well-known $Apple(AAPL)$ analyst reported significant order cuts for the iPhone 16 series.

9. $BeiGene(BGNE)$ 's Chief Business Officer for Greater China, Yin Min, is under investigation by regulatory authorities.

Three Stocks Worth Attention Among Top Trading HK Stocks This Week

Top 3: $HORIZONROBOT-W(09660)$ .This week marked the successful debut of Horizon on the Hong Kong stock market, hailed as the largest tech IPO in Hong Kong this year. The stock surged over 36% on its first day, capturing significant investor attention.

Top 3: $CR BEVERAGE(02460)$ . The company also made waves this week, with a strong 15% jump on its first trading day. The successful IPOs of both $HORIZONROBOT-W(09660)$ and $CR BEVERAGE(02460)$ signal a potential boom in the Hong Kong IPO market.

Top 9: $GCL TECH(03800)$ : In the solar energy sector, $GCL TECH(03800)$ y benefited from a series of positive developments. The U.S. Department of Commerce is considering lifting anti-dumping and countervailing duties on certain Chinese crystalline silicon solar cells. Additionally, national leaders expressed their commitment to further unlocking the potential of solar and other renewable energy developments, igniting market enthusiasm.

Next Week's Hong Kong Stock Market Events

1.Next Thursday, China will release its October PMI data, the first major economic indicator since the government introduced stimulus measures. Investors should watch for any signs of improvement, as this could significantly impact various sectors.

2.Next week, major companies like $Advanced Micro Devices(AMD)$ $Microsoft(MSFT)$ $Apple(AAPL)$ $Li Auto(LI)$ $LI AUTO-W(02015)$ will announce their earnings. These reports are likely to influence individual stocks and overall market sentiment.

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

  • KSR
    10-27
    KSR
    👍
  • YueShan
    10-27
    YueShan
    Good ⭐️⭐️⭐️
Leave a comment
2
41