Hong Kong Stocks Open | Hang Seng Index Up 0.31% at Open, Majority of Tech Stocks Rise

The Hang Seng Index opened 0.31% higher, while the Hang Seng Tech Index rose 0.56%. Most technology and internet stocks posted gains, with SMIC surging over 2%, and JD.com and Alibaba rising more than 1%.

Regarding the outlook for Hong Kong stocks,

China Galaxy Securities’ strategy team believes that in the short term, the escalation of trade friction between China and the US has led to a decline in investor risk appetite, driving a correction in Hong Kong stock valuations. However, supported by domestic pro-growth policies and measures aimed at stabilizing the market with long-term capital, investor sentiment is expected to gradually stabilize. The overall valuation of Hong Kong stocks is currently at a medium-to-high historical level, and the Hong Kong market is expected to experience wide-ranging fluctuations in the future.

The Guotai Haitong overseas strategy team released a research report stating that foreign capital dominates most细分 industries in Hong Kong stocks, particularly in sectors like internet, finance, and most consumer segments. Meanwhile, southbound capital holds stronger influence in a few industries such as telecom operators, coal petrochemicals, military industry, and semiconductors. Over the past two years, southbound capital’s pricing power in semiconductor,泛consumption, and泛dividend-related industries has significantly increased.

This article is reprinted from Tencent Self-Select Stocks, edited by Chen Wenfang of Zhitong Finance.