To The Moon

In the afternoon session of July 8th, the Hong Kong stock market staged a strong rebound, with significant gains observed across the board.

The Hang Seng Tech Index, in particular, saw its gains expand to over 5%. Leading the tech sector higher, shares of Alibaba Group Holding Limited - W (09988) surged more than 12%. Other notable gainers included Kuaishou Technology - W (01024) and Lenovo Group Limited (00992), both up over 8%.

Industry observers believe that the value of leading Hong Kong-listed internet companies is poised for a reassessment amidst the ongoing AI transformation.

The SOUTHERN HENDERSON TECHNOLOGY ETF (520570.SH; its off-exchange feeder funds: Class A 020988, Class C 020989) closely tracks the performance of the Hang Seng Tech Index.

This ETF provides exposure to 30 large, liquid technology firms listed in Hong Kong, serving as a key instrument for investors seeking to capture trends in the Hong Kong tech sector.

Recent developments among major AI-focused tech companies have been a catalyst. Notably, both Tencent Holdings Limited and Meituan have recently announced the open-sourcing of their respective large language models.

On the earnings front, preliminary reports regarding Alibaba's fiscal 2027 first-quarter results suggest a solid recovery and growth in its overall e-commerce business, encompassing both domestic China and international operations.

Its flash sales platform, Taobao Deals, is reportedly narrowing losses faster than market expectations, with its market share remaining stable even as subsidy reductions continue.

In a separate development, market reports indicate that AI startup DeepSeek is in the early stages of developing its own AI chips designed for inference tasks, aiming to reduce reliance on suppliers like NVIDIA Corporation.