This week, the Hong Kong stock market saw huge fluctuations, with the $HSI(HSI)$ rising 1.41% for the week.
Key Events and Earnings Reports
On Friday evening, $BABA-W(09988)$ released its Q1 results for FY2026. Revenue reached 247.65 billion yuan, up 2% year-over-year, while net profit surged by 76% to 42.38 billion yuan.
Cloud revenue hit 33.40 billion yuan, up 26%, and AI-related revenue continued its triple-digit growth for the eighth consecutive quarter.
Instant retail saw revenue of 14.78 billion yuan, up 12%, with daily orders hitting a peak of over 120 million. CEO Jiang Fan stated that flash sales would bring trillions in additional transactions.
As a result, Alibaba’s stock surged 18.5% on Monday, the largest single-day jump in nearly two years, lifting the broader internet sector. The Hang Seng Index rose more than 2% that day.
Market Correction
However, both Hong Kong and A-shares corrected after that, with AI stocks falling sharply and market sentiment weakening. The Hang Seng Index dropped for three consecutive days.
On Thursday, ADP Research reported that the US added 54,000 jobs in August, far below expectations of 68,000 and significantly slower than the revised 104,000 increase in July. This raised expectations of an interest rate cut from the Fed, pushing the S&P 500 to a record high.
At the same time, $Broadcom(AVGO)$ 's Q3 earnings for FY2025 exceeded expectations, with strong demand for AI-related products. The stock rose over 4.5% after hours, setting a new all-time high.
This spurred a rally in AI stocks and lithium battery stocks, and the ChiNext index in the A-share market surged 6.55%, marking the first time in a decade that it “reversed” after a 4%+ drop.
With optimism returning, the Hang Seng Index rose more than 1.4% on Friday.
Sector Performance
This week, healthcare stocks led the gains, while the information technology sector struggled.
Southbound Funds bought a net HK$33.06 billion this week, bringing the total net inflow for the year to over HK$1 trillion.
Next week, China and the US will release key economic data, including August CPI and PPI, which could have a significant impact on the market.
Major Events in Hong Kong Stocks This Week
1. The PMI for August was 49.4, slightly below the expected 49.5.
2. $BABA-W(09988)$ 's purchase of 150,000 GPUs from Cambrian was a rumor.
3. $INNOSCIENCE(02577)$ 's stock hit a new all-time high, with AI and data center sales up 180% year-on-year.
4. $BYD COMPANY(01211)$ 's August EV sales reached 373,600 units, flat compared to last year.
5.New energy vehicle startups announced their August delivery numbers, with " $LEAPMOTOR(09863)$ $XPENG-W(09868)$ $NIO-SW(09866)$" reaching all-time highs.
6. $NIO-SW(09866)$ 's Q2 revenue was 19.01 billion yuan, up 9% YoY.
7. 8 million new A-share accounts were opened in August, up 165% YoY.
8.Gold prices hit a new all-time high.
9.Unitree Robotics announced plans to submit a listing application between October and December 2025.
10.Southbound Fund's total net inflow for the year exceeded HK$1 trillion.
Five Stocks Worth Attention Among Top Trading HK Stocks This Week
Top1： $BABA-W(09988)$ : On Friday evening, Alibaba announced a 2% revenue increase and a 76% jump in net profit, with AI-related product revenue growing for the eighth consecutive quarter, causing the stock to soar.
Top5： $GCL TECH(03800)$ : The Ministry of Industry and Information Technology and the State Administration for Market Regulation emphasized the importance of breaking the "involuntary" competition in the photovoltaic sector, causing a big rally in the sector.
Top6： $UBTECH ROBOTICS(09880)$ : After landing a nearly $100 million order, UBTECH secured another 250 million yuan contract for humanoid robot solutions, further fueling stock gains.
Top8： $BYD COMPANY(01211)$ : After its Q2 report showed weaker-than-expected earnings, media reports indicated BYD had cut its 2025 sales forecast.
Top9： $NIO-SW(09866)$ : NIO's Q2 revenue increased by 57.9% from Q1 and 9% YoY. CEO Li Bin stated that NIO aims to reach 50,000 units in monthly deliveries by Q4.
Next Week's Hong Kong Stock Market Events
1.Next Monday, China will release August import and export data—watch whether exports remain resilient under the trade war.
2.Next Wednesday, China will release August CPI and PPI data—attention on whether inflation picks up under the “anti-involution” policy.
3.Next Thursday, the US will release August CPI data, with economists predicting a 2.9% YoY increase, up from 2.7% last month.
4.Next Friday,China will release August data on new RMB loans, social financing, and M2 money supply.
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