Finance Associated Press, January 3 (edited by Hu Jiarong) Hong Kong stocks continued to adjust today, and the technology index led the market again. At the close, the Hang Seng Index fell 0.85% to close at 16,646.41 points, the Technology Index fell 1.84% to close at 3,646.39 points, and the China Enterprises Index fell 0.77% to close at 5,628.79 points.
Note: Performance of the Hang Seng TECH Index
Today's market
Judging from today's market performance, automobiles, consumer electronics, technology and other sectors are under pressure. Gaming, coal, and shipping stocks still maintained their gains.
First of all, the auto sector fell again, among which NIO-SW (09866.HK), Great Wall Motor (02333.HK), and Leapmotor (09863.HK) fell by 4.64%, 4.14%, and 3.97% respectively.
Note: The performance of auto stocks
In terms of news, a number of car companies have recently disclosed their sales results for December 2023 and the whole year. According to the data disclosed by car companies, among the top 12 new energy vehicle sales brands, only BYD, Li Auto, and Dongfeng Lantu have completed their annual sales targets for 2023, and nearly eighty percent have not completed their annual new energy vehicle sales targets.
However, BYD's trend is stronger than most auto stocks. At the close, the company's share price rose 0.57% to close at HK$210.6.
Note: The performance of BYD shares
In terms of news, on Tuesday (January 2), local time, Tesla announced its car production and delivery data for the fourth quarter of 2023, which exceeded market expectations and achieved its annual delivery target of 1.8 million vehicles. However, Tesla's Q4 deliveries were not as good as BYD's, which means that the latter has become the world's largest EV manufacturer.
The sharp fall of U.S. stocks Apple triggered the weakening of consumer electronics, and Qiu Ti Technology fell more than 7%
In terms of news, Apple was downgraded to low by Barclays, with a target price of $160, Apple's stock price fell 3.58% to $185.64 overnight, and its market value evaporated by $107.1 billion (about 766 billion yuan) overnight, the largest one-day decline since August 4, 2023, and a new closing low since November 9, 2023. Affected by this news, Qiu Ti Technology (01478.HK), Gao Wei Electronics (01415.HK), and Sunny Optical Technology (02382.HK) fell by 7.42%, 6.14%, and 3.84% respectively.
Note: The performance of consumer electronics concept stocks
Technology stocks fell sharply, JD.com Group fell more than 3%
Among the technology stocks, JD.com-SW (09618.HK), Baidu Group-SW (09888.HK), and Alibaba-SW (09988.HK) rose 3.19%, 2.43%, and 1.87% respectively.
Note: Performance of technology stocks
On the news front, global government bonds started the new year cautiously as traders reduced bets on major central banks cutting interest rates aggressively this year. Traders are betting that the ECB will cut interest rates by 158 basis points this year, down about 10 basis points from last week. In the US, money markets are pricing in a brief b150 basis points of Fed easing in 2024 for the first time since Dec. 21 last year.
Some game stocks rose against the trend, and Tencent closed in the red at the end of the session
Among game stocks, Youlai Interactive (02022.HK), NetEase-S (09999.HK), and Tencent Holdings (00700.HK) rose 4.76%, 1.35%, and 0.96% respectively.
Note: The performance of gaming stocks
In terms of news, Cinda Securities pointed out that the value output of the game industry depends on the supply side of new content, and the current supply recovery is relatively strong as a whole, further supporting the fundamental recovery of the game industry, and the game industry is moving towards a new round of development cycle.
In addition, today NetEase announced that the whole line of products will be based on the anti-addiction system, and comprehensively add "Minor Mode", which will provide users with one-click content blocking, "NetEase Parental Care Platform" management, anti-cyberbullying and other protection options, and the first batch of 34 pilot products have completed the deployment of "Minor Mode".
Most coal stocks rose, Shougang Resources rose 3%
Among coal stocks, Shougang Resources (00639.HK), Yankuang Energy (01171.HK), and Mongolia Energy (00276.HK) rose 3.33%, 2.59%, and 1.11% respectively.
Note: The performance of coal stocks
On the news side, according to the tariff rules of the "Import and Export Tariff of the People's Republic of China (2024)" issued by the Customs Tariff Commission of the State Council, the import tariff on coal will be resumed from January 1, 2024.
According to industry insiders, the cost of mainland coal imports will increase in 2024, and the number of imports may decline, which will be conducive to the competitive landscape of listed coal companies, and it is reasonable for the stock prices of related companies to change.
The situation in the Red Sea continues to be disturbed, and the port of long-distance shipping rises by nearly 13%
Among the shipping stocks, Yuanhang Port (08502.HK), Xiangyi International (01732.HK), and COSCO Shipping Energy (01138.HK) rose 12.68%, 5.49%, and 1.85% respectively.
Note: Performance of shipping stocks
In terms of news, container shipping Maersk said on Tuesday that it would once again halt the passage of its ships through the Red Sea, a major trade route. This comes after the company's vessel was attacked again in just a few weeks. Earlier, Maersk said in a statement that it would adjust the route of ships and divert them to southern Africa to avoid conflict zones near the Red Sea. Huafu Securities released a research report saying that the range of oil tankers may be significantly improved, and the detour also makes the economic benefits of VLCC prominent, and the elasticity of freight rates under rigid supply can be expected.
Southbound funding
Today, southbound funds are flowing into a large amount of HK$6.816 billion. Since January this year, southbound funds have flowed a total of HK$10.67 billion.
Stock news and movements
[CIFI Holding Group rose nearly 14% and overseas restructuring is expected to reduce debt by 3.3 billion to 4 billion US dollars]
CIFI Holdings Group (00884.HK) rose 13.73% to close at HK$0.29. In terms of news, CIFI Holding Group announced at noon that the company has submitted a refined proposal to the Coordination Committee, the Bondholder Group and its advisers on the economic terms of a comprehensive solution. Its offshore restructuring plan will provide creditors with a variety of options for "short-term debt reduction, medium-term equity swap, long-term capital preservation and interest rate reduction", with new notes ranging from 2 to 9 years and a target debt reduction of about US$3.3 billion to US$4 billion.
[Maoyan Entertainment rose more than 4% and set a new record at the box office on New Year's Day]
Maoyan Entertainment (01896.HK) rose 4.28% to close at HK$10. On the news side, the domestic film market will rebound sharply in 2023, with an annual box office of 54.9 billion yuan, a year-on-year increase of 83.4%. In addition, the National Film Administration released data on the 2nd that from December 30, 2023 to January 1, 2024, the box office of the mainland's 2024 New Year's Day movies will reach 1.533 billion yuan, creating a new New Year's Day box office record.
This article originated from Hu Jiarong, Finance Associated Press