Zhitong Finance obtained information that on July 12th, in the Hong Kong stock market, Beishui's net buying amounted to 0.171 billion Hong Kong dollars, among which the net selling of the Hong Kong stock connect (Shanghai) was 0.224 billion Hong Kong dollars, and the net buying of the Hong Kong stock connect (Shenzhen) was 0.395 billion Hong Kong dollars.

The stocks with the most net buying by Beishui were Industrial and Commercial Bank of China (01398), Xiaomi Group-W (01810), and Sunny Optical (02382). The stocks with the most net selling by Beishui were CNOOC (00883), Tencent (00700), and COSCO Shipping Holdings (01919).

Active trading stocks for Hong Kong stock connect (Shanghai).

Active trading stocks for Hong Kong stock connect (Shenzhen).

Industrial and Commercial Bank of China (01398) received a net buying of 0.494 billion Hong Kong dollars. On the news front, CICC previously stated that although the downward trend in interest rates has led to pressure on bank interest margins and profits, the stable dividend yield expectation of bank stocks still makes them have cost-effective allocation. CICC believes that in the short term, banks can hedge the pressure on interest margins by adjusting their asset and liability structures, and policies can guide the downward trend of liability costs. Profit and dividend expectations of listed banks in 2024 are still stable, and their profitability growth is more resilient than other industries.

Sunny Optical (02382) received a net buying of 13.85 million Hong Kong dollars. On the news front, Goldman Sachs believes that Sunny last month shipped roughly as expected for Smartphone lenses, smartphone camera modules, and car lenses. CITIC Lyon pointed out that Sunny Optical Technology's first half-year results are stable. The shipment volume of its main smartphone and automotive products is stable. More importantly, the product structure and gross margin of its smartphone camera module business, which has a high degree of profit sensitivity, have improved. The bank expects half-year net income to be RMB 1.03 billion.

China Resources Power (00836) received a net selling of 76.92 million Hong Kong dollars. On the news front, GTJA previously indicated that due to the enhanced crowding out effect of clean energy such as hydropower, the utilization rate of thermal power is expected to decline in the second quarter; the domestic spot coal price in the second quarter is decreasing, while the long-term coal price generally remains stable. Taking into account the impacts of declining thermal power utilization rate, post-heating season increase in coal consumption of power plants, and seasonal factors of other businesses, the integrated profitability of various thermal power companies in the second quarter is expected to differentiate, and the profit difference mainly depends on regional electricity price, utilization hours, and market coal hedging.

China Shenhua Energy (01088) received a net selling of 0.101 billion Hong Kong dollars. On the news front, China Shenhua disclosed that according to preliminary estimates, the group's attributable profit to the company's owners for this period is expected to be RMB 31.8 billion to 33.8 billion, a year-on-year decrease of 8.4% to 13.8%. BOC International calculated that the company's second-quarter profit was RMB 14 billion to 16 billion, a quarterly decrease of 10% to 21%. In addition to the decline in coal prices and power output, the bank believes that the sales structure may change, and the proportion of self-produced coal sold under long-term agreements may increase.

COSCO Shipping Holdings (01919) received a net selling of 0.25 billion Hong Kong dollars. On the news front, according to multiple media reports, the Hamas side has given up its demand that Israel commit to a permanent ceasefire before signing a ceasefire agreement. Daiwa issued a research report stating that Hamas’ acceptance of the ceasefire agreement will improve the situation in the Middle East in the short term. If expectations are met, shipping prices may recover to the level before the Red Sea shipping was blocked. Although shipping stock prices have been supported by a substantial increase in freight rates, the latest development of the situation is still expected to put considerable pressure on the stock prices of shipping companies.

Tencent (00700) received a net selling of 0.257 billion Hong Kong dollars. On the news front, on July 12th, Tencent spent about HKD 1 billion to repurchase 2.54 million shares. Since the repurchase authorization resolution was passed, the Group has repurchased nearly 0.102 billion shares. It is worth mentioning that according to Tencent's announcement, it will announce its interim results on August 14th. The previous month is a quiet period, and July 12th is the last day of Tencent's repurchase in this phase.

CNOOC (00883) received a net selling of 0.273 billion Hong Kong dollars. On the news front, GTJA stated that it maintains the view that the Q3 crude oil price should remain above $85 per barrel and the cap is 88-92 dollars per barrel. It is expected that the balance sheet will weaken after Q4, and the overall trend in the second half of the year will be rising then falling. Morgan Stanley issued a research report saying that investors have recently been more inclined to shift to high-yield stocks. Compared with the yield of China's ten-year government bonds of only 2.3%, CNOOC H shares still provide a yield of over 6%, which promotes capital inflows and provides space for re-evaluation.

In addition, Xiaomi Corp-W (01810) received a net buy of HKD 0.207 billion. Meanwhile, China Mobile (00941), Semiconductor Manufacturing International Corporation (00981), and China United Network Communications (00762) were subject to net sells of HKD 0.186 billion, HKD 0.103 billion, and HKD 1.15 million, respectively.