Under the drag of heavyweight technology stocks such as 'Magical Seven Heroes', the three major US stock indices fell significantly last night (24th); the VIX index, which reflects market panic, jumped 22.6%. Stimulated by the increase in arbitrage closing of global trade, the yuan exchange rate continued to rise to a more than two-and-a-half-month high, once rising 1% high to 152.22 against the US dollar. The market's risk aversion soared, and major stock markets in the Asia-Pacific region fell across the board today (25th), with the Nikkei index down 1,285 points or 3.3%. Hong Kong stocks continued to decline for the past two days. In the afternoon, they fell below the 17,000-point mark, once falling 335 points, reaching a three-month low of 16,975, and now reporting 17,010, continuing to fall 300 points or about 1.7%, with a turnover of 79.096 billion yuan.

Meituan-W (03690.HK) fell 6.2%, the biggest decline among blue-chip stocks, reporting 106.3 yuan, hitting a near two-month low, with a turnover of 4.182 billion. Other heavyweight science and internet/technology equipment stocks followed the external pressure, with Lenovo Group (00992.HK), Ctrip-S (09961.HK), and Tencent (00700.HK) all down about 3% to 3.7%, Baidu-SW (09888.HK), Xiaomi-W (01810.HK), and Ideal-W (02015.HK) down 1.9% to 2.6%. Kuaishou-W (01024.HK), Bilibili-W (09626.HK), and JD-SW (09618.HK) all fell about 1%, and Alibaba-SW (09988.HK) fell slightly by 0.6%.

Commodity sectors faced significant selling pressure. Among the 'three barrels of oil', PetroChina (00857.HK) and CNOOC (0088.HK) fell 3.4% to 4.2%, and Sinopec (00386.HK) fell 1.4%. Other affected stocks include CITIC Securities (02899.HK), which plummeted 5.7%, Shenhua (01088.HK), which fell 3%, and Hongqiao (01378.HK), which fell 1.4%. Stocks under the 'China Estimate' suffered pressure. Among the three major Chinese telecommunications stocks, China Mobile (00941.HK) fell 1.3%, China Telecom (00728.HK) fell nearly 3%, and China Unicom (00762.HK) plunged 4.8%.

Several major domestic banks lowered their deposit interest rates, with China Merchants Bank (03968.HK) falling 3.3%, and Bank of China (03988.HK) falling 0.6% to 0.9%. Citigroup released a report stating that it expects China Merchants Bank's Q2 net profit to be lower than expected, making it difficult to prove the rationality of valuation premiums. In addition, HSBC (00005.HK) fell slightly by 0.5%, while AIA (01299.HK) and Hong Kong Exchanges and Clearing (00388.HK) both fell more than 1%. China Life (02628.HK) fell 2.6%.

Xinyi Solar (00968.HK) rose against the trend, up 3.9%, reporting 3.76 yuan, the best-performing stock in the indices. In a volatile market, some of the relatively old-economy stocks in Hong Kong outperformed, with China Light and Power (00002.HK), Towngas (00003.HK), Link REIT (00823.HK), and MTR (00066.HK) all slightly up about 0.2% to 0.4%, and Cheung Kong (01038.HK) up by more than 1%. Energy (00006.HK) continued to rise by 1.8%, reporting 49.25 yuan, reaching a nearly two-year high since August 2022, with a turnover of 0.329 billion yuan.