To The Moon

The Hong Kong market experienced a choppy trading session today (June 9th), but the Hang Seng Tech Index managed to stage a rebound after four consecutive days of declines.

By the close, the Hang Seng Index was down 91.16 points, or 0.37%, at 24,565.90. The Hang Seng Tech Index, however, finished in positive territory, gaining 13.70 points, or 0.29%, to close at 4,769.61.

Primary Market Focus

Today's market action was dominated by a single theme, centered on the semiconductor supply chain.

Leading the charge was the PCB (printed circuit board) sector. KB Laminates (HK: 01888) surged 12%, hitting a new all-time high. Its parent company, Kingboard Hldg (HK: 00148), soared over 25%, also reaching a record high. Year-to-date, KB Laminates has skyrocketed 377%, while Kingboard Holdings has gained an impressive 206%.

In the broader semiconductor space, Iluvia Core soared over 11%, ASMPT climbed more than 9%, and SMIC and Montage Technology both rose over 3%.

Additionally, interest in MLCC (multilayer ceramic capacitor) stocks spread to the Hong Kong market. Tianli Holdings (HK: 00117) surged over 26% today. The company, a rare Hong Kong-listed play, is primarily engaged in MLCC products.

The catalyst for related concept stocks was news that A-share MLCC leader Sannic had submitted a second listing application to the Hong Kong Stock Exchange.

Key Stock Moves and News

Tencent (HK: 00700) saw its shares rise as much as 4% intraday before paring gains, ultimately closing up 1.52%.

The move followed an official announcement from WeChat that it is opening access to its AI (Artificial Intelligence) ecosystem. The WeChat Open Platform stated it will provide mini-program developers with convenient access to AI capabilities, subject to the developers' own choice, aiming to enhance user interaction experience.

CICC released a research note on Tencent, highlighting that Tencent Cloud held its 2026 AI Industry Application Conference on June 5th, premiering its "Efficiency Agent Toolkit." Market attention was focused on the in-depth discussion between Dowson Tong and Shunyu Yao. The firm maintained its 2026 and 2027 profit forecasts, reiterating an "Outperform" rating and a HK$666 target price.

Other Market Activity

Other technology and internet stocks were mixed. Lenovo gained over 3%, Meituan rose more than 1%, while Bilibili fell over 2% and Alibaba dropped more than 1%. Oil and gas stocks were weak, with Shandong Molong plunging over 17%. Innovative drug concept stocks also weakened, with WuXi AppTec declining over 3%.

On the capital flow front, southbound funds recorded a significant net sell-off of Hong Kong stocks today, with net sales totaling approximately HK$8.6 billion by the market close.

Looking Ahead

CSC Financial noted that the strong US non-farm payroll data for May released by the Labor Department has increased market expectations for interest rate hikes. Coupled with the impending IPO of the behemoth SpaceX, this has led to significant volatility in US stock markets. However, in the short term, macroeconomic fluctuations are unlikely to alter the development trajectory of the AI industry. Visibility for global AI computing infrastructure orders remains relatively high, and thus the firm remains optimistic about the AI industry chain.

Soochow Securities believes the Hang Seng Tech Index is currently trading at a historically low valuation, offering a strong margin of safety. Short-term volatility may persist due to overseas liquidity disturbances, but the medium to long-term technology growth trend has not diminished. With catalysts from interim results and the deepening industry trends in AI and semiconductors, the index is expected to gradually recover, trading time for space. The firm suggests focusing on structural opportunities within a broad range-bound market.