Caifong Society News on October 8th (Editor Hu Jiarong) The three major Hong Kong stock indexes experienced significant volatility in early trading. As of the time of publication, the Hang Seng Index fell by 5.64% to 21,796.70 points; the Technology Index fell by 7.65% to close at 4,974.34 points.

Performance of the Hang Seng Index and Technology Index

At the same time, the short selling ratio in the Hong Kong stock market has been gradually increasing, with short selling proportions of Alibaba-SW (09988.HK), Citic Securities (06030.HK), Hong Kong Exchange (00388.HK), BYD Company (01211.HK), Anta Sports (02020.HK), PetroChina (00857.HK) all showing varying degrees of increase.

The short selling ratio of Citic Securities has increased from less than 20% on September 30 to 39.46% yesterday.

Citic Securities

Alibaba's short selling ratio has increased from 14.94% on September 30 to 17.36% yesterday.

Alibaba

Short selling ratio of the Hong Kong Stock Exchange increased from 9.95% on September 30 to 11.33% yesterday.

Note: Hong Kong Stock Exchange

Short selling ratio of BYD Company increased from 9.07% on September 30 to 10.08% yesterday.

Note: BYD Company

Short selling ratio of Anta Sports increased from 19.67% on September 30 to 39.45% yesterday.

Note: Anta Sports

Short selling ratio of PetroChina increased from 9.19% on September 30 to 16.20% yesterday.

Note: PetroChina

Multiple foreign institutions continue to be bullish on the Chinese stock market.

Despite the increase in short selling of some individual stocks in the Hong Kong stock market, foreign institutions still hold an optimistic attitude towards the Chinese stock market. They believe that China's economic policies and market environment provide good investment opportunities for investors, especially with the push of fiscal stimulus policies and capital market reforms, the Chinese stock market is expected to achieve sustained growth.

International investment banks such as BlackRock, Goldman Sachs, and Morgan Stanley have all raised their ratings on Chinese stocks, believing that the Chinese stock market is likely to further climb. These views reflect institutional investors' confidence in the Chinese market.

Goldman Sachs has raised its rating on the Chinese stock market to 'overweight' in its latest report, raising the target price of the CSI 300 index from 4000 points to 4600 points, implying approximately 15%-18% upside. Morgan Stanley stated that if the Chinese government announces more spending measures in the coming weeks, the Chinese stock market may further rise by 10%-15%. Citic Securities expressed that it raised the target of the Hang Seng Index and MSCI China Index to 26,000 points and 84 points by the end of June next year, representing about 13% and 12% upside from current levels.