Editor's note:“This Week's Bullish Stocks in Hong Kong and the US”The column closely follows market trends every week, takes stock of the weekly performance of the Hong Kong and US stock markets, helps newcomers sort out the current week's hot sectors, strong individual stocks, and major news, and find profitable investment topics.
Due to the New Year's Day holiday, Hong Kong stocks have only four trading days this week. The three major indices continued to adjust in the first week of 2024. As of Friday's close, the Hang Seng Index had a cumulative decline of 3% during the week, while the KOI and China Index fell by more than 4% and 2% respectively during the same period.
Specifically, benefiting from favorable policies,$YANKUANG ENERGY (01171.HK)$The week saw a sharp rise, with a cumulative increase of more than 10%.
Coal import tariffs will resume in 2024, and China will increase the import tariff on coking coal imported from Mongolia and other major coking coal importers by 3%. At the same time as import tariffs have risen, coking coal prices have also risen by varying degrees this quarter, with coking coal rising by 200 yuan/ton in many places. The rise in coking coal prices at the Changxie Association has also boosted the stock prices of related companies.
Affected by the re-escalation of the situation in the Red Sea, shipping stocks continued to rise.$OOIL (00316.HK)$It rose nearly 8% during the week, and the agency said that in the short term, freight rates are expected to maintain an upward trend.
Global shipping giant Maersk previously announced the resumption of some Red Sea routes, which at one point slowed the rise in shipping stocks. However, Maersk also announced this week that due to the ongoing risk posed by the Houthi attacks in Yemen, the company will indefinitely suspend routes to the Red Sea and Gulf of Aden.
According to a report released by J.P. Morgan Chase, as the Red Sea crisis worsened, more and more shipping companies suspended waterway transportation in relevant regions until further notice. However, unlike the Suez Canal blockage in 2021, the Panama Canal and the Suez Canal are currently experiencing a double crisis at the same time, and shipping stocks may continue to benefit, which is worth keeping track of by investors.
Regulatory boundaries are becoming clear,$NEW ORIENTAL-S (09901.HK)$The increase was more than 8% this week. The agency said that the clear supply side brought about by the policy, the results achieved in the transformation of literacy training, and a clear regulatory attitude are the three major changes in the K12 education and training circuit.
In terms of news, China's Ministry of Education issued a notice on January 3 that it will select around 1,000 national online quality courses for vocational education to promote the development and open sharing of high-quality digital resources for vocational education.
GF Securities pointed out that the trend of double recovery in the education sector's performance and valuation can continue. Since the beginning of the year, the education industry's immediate needs have been highlighted. Business development has resumed rapidly after external influencing factors have been lifted, and at the same time, steady improvement in policy sentiment has supported the restoration of valuations to a reasonable center.
On the other hand, the weakest performing stocks this week are as follows:
As for the subsequent trend in the Hong Kong stock market, Zheshang International continues to be cautious about short-term trends, but believes that the cost performance ratio of the left side allocation in the medium to long term will further increase. In terms of configuration, emphasis continues to be placed on maintaining a distributed and balanced industry sector configuration. In the current weak market environment, focus on sectors with stable performance, stock prices, and dividends, such as energy, telecommunications, and utilities.
Editor/Corrine