Weekly | Tech Giants Soar, Big Meetings Ahead!
This week Hong Kong stocks put on a show. $HSI(HSI)$ surged 3.82%, blasting through the 26,000 mark—its highest level in four years. 🚀
Macro Data: Mixed Signals at Home, Dovish Winds Abroad
China’s customs data on Monday showed exports in USD terms rose 4.4% YoY in August, down 2.8 percentage points from July—the slowest pace in five months. Imports grew just 1.3%, also weaker.
The export slowdown was mainly due to a high base last year and fading “front-loading” effects. Under U.S.-China trade tensions, exports to the U.S. plunged 33.1% in August, after a 21.7% drop in July, marking the fifth straight month of double-digit declines.
On inflation, CPI fell 0.4% YoY, worse than expected. Food prices were softer than seasonal norms, while a high base effect made the drop look steeper. Core CPI, excluding food and energy, rose 0.9%, climbing for a fourth month.
PPI dropped 2.9% YoY, but the decline narrowed—the first improvement since March.
Overseas, U.S. CPI came in at 2.9% YoY in August, in line with forecasts and slightly above July’s 2.7%. Traders ramped up bets on Fed rate cuts in 2025, sparking a broad “dovish rally.”
Oracle Shockwave: AI Stocks on Fire
Beyond macro data, AI stocks stole the spotlight.
On Tuesday, $Oracle(ORCL)$ said its remaining performance obligations (RPO) surged 360% to $455B, far beating estimates.Oracle expects its cloud infrastructure revenue to grow 77% this fiscal year to $18B, and to reach $144B by 2030.
The blowout report sent Oracle shares up 36% overnight, adding $255B in market cap—about the size of $Kweichow Moutai Co.,Ltd.(600519)$ . Founder Larry Ellison briefly overtook Elon Musk as the world’s richest man.
That blast sent shockwaves across AI plays worldwide. $Broadcom(AVGO)$ $Taiwan Semiconductor Manufacturing(TSM)$ hit new highs. At home, $BABA-W(09988)$ led the charge, dragging $TENCENT(00700)$ and $BIDU-SW(09888)$ to new yearly peaks.
Mainland A-shares joined the party too: semis and AI names roared higher, pushing ChiNext above 3,000. Bullish vibes are back, with fresh money rushing in.
Southbound Flows and Sector Moves
Southbound funds poured in HK$60.8B this week.
This week, telecoms, financials, and information technology led the gains, while health care lagged.
Major Events in Hong Kong Stocks This Week
1.China’s August exports (USD-denominated) rose 4.4% YoY, down from July’s 7.2%.
2. $POP MART(09992)$ plunged as LABUBU resale prices dropped and short selling surged.
3. $DAHON TECH(02543)$ debuted in Hong Kong; IPO oversubscribed 7,558x, a new record. Shares jumped over 200% in grey-market trading.
4.China’s State Administration for Market Regulation met with major food delivery platforms to curb excessive subsidies.
5. $YUNFENG FIN(00376)$ secured approval from Hong Kong’s SFC to provide virtual asset trading services.
6. $CATL(03750)$ held a meeting on resuming operations at the Jianxiawo lithium mine, with production expected to restart soon.
7. $BABA-W(09988)$ unveiled its “Gaode Street Ranking” at a major product launch.
8. $BYD COMPANY(01211)$ executives and key staff bought 52.3 million yuan worth of A-shares.
9. $NIO-SW(09866)$ plans to issue 181.8 million Class A shares, aiming to raise $1 billion.
10.The Trump administration is considering strict limits on Chinese pharmaceutical imports.
11. $Oracle(ORCL)$ signed a $100B AI infrastructure deal, shares soared 36% in a day.
12.China’s August CPI fell 0.4% YoY; PPI dropped 2.9%, narrowing from July.
13.U.S. August CPI rose 2.9% YoY, matching expectations and slightly above July’s 2.7%.
Four Stocks Worth Attention Among Top Trading HK Stocks This Week
Top 1: $Alibaba(BABA)$ . At its big product launch, Alibaba unveiled the Gaode Street Ranking, a direct challenger to $MEITUAN-W(03690)$ Meituan Dianping. Gaode also announced over RMB 1 billion in subsidies to drive 10 million offline customers to restaurants and local services.
Top 4: $DAHON TECH(02543)$ . The folding bike giant stormed into Hong Kong markets this week. Its IPO was oversubscribed 7,558x, smashing the 2018 record set by Most Kwai Chung. Dubbed the new “IPO King,” shares spiked over 200% in grey-market trading.
Top 6: $COUNTRY GARDEN(02007)$ . Property stocks went wild after Shenzhen’s housing bureau relaxed restrictions. Eligible families can now buy unlimited units outside core districts, triggering a sharp rebound across the sector.
Top 9: $YUNFENG FIN(00376)$ . Shares surged after the company announced its brokerage arm won SFC approval to upgrade its license and offer virtual asset trading services through regulated accounts.
Next Week's Hong Kong Stock Market Events
1.Next Monday, China will release August data on home prices across 70 major cities, industrial output, retail sales, and the unemployment rate.
2.Next Thursday, The Federal Reserve will announce its rate decision, with markets expecting a 25-basis-point cut.
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