The Hong Kong stock market today can only be described as ‘bustling with activity’! The Hang Seng Index opened strongly, gaining over a hundred points right at the start, and at one point in the afternoon, it rose nearly 500 points, ultimately closing at 26,900, up 469 points, with a trading volume exceeding 360 billion. Looking back at the market, it never dropped below 26,500, reaching a high of 26,936, marking a new peak recently.
On the other hand, the Tech Index performed even more impressively, with a daily increase of over 4%, reaching 6,334 points, creating a high not seen in about four years, with trading exceeding 130 billion — an exceptionally strong show! The remarkable rise of the Tech Index was primarily led by several tech giants like Baidu (9888), Alibaba (9988), Meituan (3690), and Tencent (700), with each recording gains of several percentage points. Baidu stood out with an incredible rise of over 15%, stabilizing at 131 HKG, becoming the top blue-chip stock gainer. Alibaba, Tencent, and Meituan also performed well with increases of 5%, 2%, and 5% respectively, cumulatively exceeding 40 billion in trading volume, creating a vibrant market atmosphere.
Besides tech stocks, home appliance leader Haier Smart Home (6690) and semiconductor stock SMIC (981) also performed well, rising by 7.5% and 7% respectively. However, not every stock performed well; for instance, China National Pharmaceutical Group (1177) and Xinyi Glass (868) experienced declines of around 4%, showing some weakness.
This market surge is related to positive policies from the mainland, stabilization in the U.S. stock market, and market anticipation regarding the U.S. Federal Reserve’s interest rate decisions, leading to an optimistic outlook. However, attention is needed as stocks like BYD (1211), which still maintain analyst ‘buy’ ratings, have had their target prices and profit forecasts downgraded by HSBC Securities due to concerns about mainland ‘anti-involution’ policies affecting sales, reminding investors to prepare mentally as demand may not be as optimistic in the latter half of the year. Nonetheless, in the long term, the upgrade of electric vehicle equipment is expected to accelerate growth again next year.
Overall, today’s Hong Kong stock market is truly promising, with tech stocks supporting the entire market and driving the index to new heights, creating an excellent atmosphere. Of course, individual stocks face adjustments, so investors should be mindful of risks. If you’ve been following leading tech stocks, today should make you happy; but remember, the stock market is unpredictable, timely profit-taking is also very important.
Finally, a reminder that regardless of whether the market is rising or falling, doing your homework, understanding your limits, and avoiding excessive greed will help you navigate the stock sea more successfully!
