On August 15, the three major indexes of Hong Kong stocks were weak throughout the day, with the Hang Seng Index falling 0.67% to 20040 points, the National Index down 0.63% and the Hang Seng Technology Index down 0.96%. Today, there was a net inflow of capital from the south of HK $1.261 billion, and the turnover in the market shrank to HK $73.7 billion.
In the market, large-scale science and technology collectively fell, Baidu, Inc., Bilibili Inc., Tencent, BABA fell more than 1%, JD.com, NetEase all declined; CCTV said that a number of chip prices avalanche, chip stocks fell generally, Semiconductor Manufacturing International Corporation fell 6.2% BDI hit a six-month low, port and shipping stocks led the decline, Orient Overseas fell 14%; a number of oil stocks were delisted from the New York Stock Exchange, Petrochina and China Petroleum & Chemical Corp all fell more than 2.5%. Gold stocks, traditional Chinese medicine stocks, logistics stocks, mobile games stocks, inner housing stocks, aviation stocks and other stocks fell collectively. On the other hand, the catering stock was strong throughout the day, with Haidilao International Holding rising 7.3% compared to the obvious improvement in business performance. The first domestic oral COVID-19 drug could be temporarily included in medical insurance reimbursement, the anti-epidemic concept stock strengthened, and the pharmaceutical industry was pulled up to 20% in the afternoon. Tourism stocks, holiday concepts, dairy stocks, photovoltaic stocks and other stocks strengthened.
Port and shipping stocks fell across the board. Orient Overseas fell more than 14%, profit Marine fell more than 9%, SITC International Holdings fell more than 6%, Jinhui Group, Pacific Shipping and COSCO Shipping Holdings fell more than 4%.
On the face of the news, the Baltic dry bulk freight index fell to a six-month low on Friday and fell for the fourth week in a row as shipping rates fell. Taking into account the overall index of freight charges for Capesize, Panamanian and super-large carriers, which fell 79 points, or 5.1 per cent, to 1477, the index fell 5.3 per cent last week.
In addition, HSBC previously downgraded Orient Overseas to a reduced allocation, with a target price of HK $225.
The semiconductor sector generally fell. Semiconductor Manufacturing International Corporation fell more than 6 per cent, while Hua Hong Semiconductor and Jingyang Group fell more than 3 per cent. Hongguang Semiconductor fell 2%.
On the news, CCTV said that since the beginning of this year, the market price of consumer electronics control chips has also continued to decline, falling from a high of 100 yuan to double digits. Take mobile phones as an example, global mobile phone sales declined in 2022, resulting in an oversupply of mobile phone electronic chips. Major mobile phone manufacturers have lowered their shipping targets and made orders to upstream chip manufacturers.
Technology stocks are in the doldrums. XPeng Inc. fell nearly 3%, Li Auto Inc., Tencent and BABA fell more than 1%, Bilibili Inc. fell nearly 1%, XIAOMI, Kuaishou Technology, NetEase, Inc and JD.com fell slightly.
Property management stocks led the decline. Song du service fell by more than 6%, Kaisa service, Lu merchant service and Jinke service fell by more than 5%, Zhengrong service, Country Garden Services Holdings, time neighborhood and Xuhui Yongsheng service fell by more than 4%.
Inner housing stocks followed suit. Time China Holdings fell more than 6%, and Xuhui holding Group fell more than 5%.Country Garden Holdings, Lujing China Real Estate, Zhongjun Group and China Jinmao fell more than 4 per cent.
From January to July, investment in real estate development nationwide totaled 7.9462 trillion yuan, down 6.4 percent from the same period last year, including residential investment of 6.0238 trillion yuan, down 5.8 percent, according to the National Bureau of Statistics. From January to July, the sales area of commercial housing was 781.78 million square meters, down 23.1% from the same period last year, of which residential sales area fell by 27.1%. Sales of commercial housing totaled 7.5763 trillion yuan, down 28.8 percent, of which residential sales fell by 31.4 percent. The Bureau of Statistics said that on the whole, the real estate market is showing a downward trend, currently in the bottom-building stage as a whole.
The catering sector bucked the trend and strengthened. Haidilao International Holding rose nearly 8%, Cuihua Holdings rose more than 3%, Helens, Nai Xue Tea, Libao Pavilion, Weiqian rose more than 1%.
The Tourism Unit is active. Feiyang Group rose by more than 7%, Olympic traffic and Shide Global by more than 5%, and Fuying Global by 4%.
Anti-epidemic concept dragon shares rose significantly, the development pharmaceutical industry rose more than 18%, Tengshengbo medicine rose more than 4%, Dongyang Guangyao, clover biology, JD Health and other stocks rose.
According to National Healthcare Security Administration, according to the relevant provisions of basic medical insurance, in order to better protect the needs of diagnosis and treatment, all drugs included in COVID-19 's diagnosis and treatment plan can be temporarily included in the scope of medical insurance payment. On August 9, the National Health Commission issued a notice to include Azvudine tablets in COVID-19 's diagnosis and treatment program, so the Medicare Fund can pay for the insured patients when they use the drug.
In terms of individual stock movements, Sichuan Neng Investment Development rose 26.44% to 2.20 yuan per share, with a total market capitalization of 2.364 billion yuan. In the news, Tianqi Lithium Industry announced that it plans to buy about 77.5 million shares of Sichuan Neng by buying no more than 150 million Hong Kong dollars.
Gao Wei Electronics rose more than 8% to HK $17.00 per share, with a total market capitalization of 14.21 billion yuan. On the news side, Gao Wei reported interim results, with revenue of $405 million, an increase of about 35.9% over the same period last year, and profit attributable to shareholders of $31.391 million, up 40% from a year earlier.
In terms of southbound funds, southbound funds had a net inflow of HK $1.261 billion, of which the Hong Kong Stock Connect (Shanghai) and Hong Kong Stock Connect (Shenzhen) had a net inflow of HK $706 million and HK $555 million respectively.
The top five declines in Hong Kong Stock Exchange were Orient Overseas, SITC International Holdings, time China Holdings and Semiconductor Manufacturing International Corporation.
Looking ahead, CICC Securities believes that concerns about inflation and austerity continue in overseas markets, while President Biden's formal signing of the Chip and Science Act has raised concerns about policy uncertainty. At the same time, the weaker-than-expected financial data for July released on Friday and the announcement of plans by several Chinese state-owned companies to delist from the United States have also heightened concerns about domestic policy trends and frictions between China and the United States.
In view of the above uncertainties at home and abroad, we expect the short-term market to continue to consolidate. At the same time, as the interim report performance period approaches, corporate earnings performance is also expected to become the core of market attention. In this context, we think that we are looking for certainty and quality targets, such as high dividend stocks and high quality growth stocks.