The Hang Seng Index closed up 0.25%, semiconductors, Apple concept stocks continued to fall, and Chinese Real Estate once rose more than 40%

Zhitong Financial APP learned that the three major indexes of Hong Kong stocks collectively rose in the morning and then fell, and the decline further expanded in the afternoon, with the Hang Seng Index falling 1.39% at one point; The late index rebounded, with the Hang Seng Index and the HSCEI turning red one after another. At the close, the Hang Seng Index rose 0.25% or 45.19 points to 18,072.9 points, with a full-day turnover of HK$93.743 billion, the Hang Seng China Enterprises Index rose 0.36% to 6,464.49 points, and the Hang Seng Tech Index fell 0.6% to 3,655.46 points.

Guoyuan International believes that although Hong Kong stocks still lack long-term stable support, due to the end of the current U.S. interest rate hike process, the overall risk appetite of overseas markets has increased, and the pressure on Hong Kong stocks is relatively light. In addition, the current domestic economy has a certain "deleveraging" characteristics, especially the residential sector is affected by real estate and other factors, and the restoration of confidence in the society is expected to become an important support for the follow-up market.

Blue chip performance

Mengniu Dairy (02319) led the blue-chip gains. As of the close, it rose 4.5% to HK$13.94, with a turnover of HK$503 million, contributing 3.08 points to the Hang Seng Index. Mengniu Dairy and Daka International Food Co., Ltd. (a wholly-owned subsidiary of Mixue Bingcheng) strategic cooperation negotiation meeting was held in Jiaozuo City, Henan Province recently. The two sides reached a number of strategic cooperation intentions, including reaching a consensus on cooperation in the supply of raw materials for pasteurized milk, milk powder, large bags of milk and other production raw materials.

In terms of other blue chips, Hansoh Pharmaceutical (03692) rose 4.24% to HK$16.72, contributing 1.3 points to the Hang Seng Index, Longfor Group (00960) rose 2.87% to HK$11.46, contributing 1.24 points to the Hang Seng Index, SMIC (00981) fell 4.34% to HK$17.2, dragging the Hang Seng Index by 5.24 points, and Ali Health (00241) fell 3.77% to HK$3.32, dragging the Hang Seng Index by 1.36 points.

In terms of popular sectors

On the disk, large technology stocks were mixed, Meituan rose more than 1%, Alibaba, Baidu, Tencent, etc. all rose; The marginal improvement of industry policies, most of the education stocks are higher today; The transactions of new and second-hand houses increased month-on-month, and domestic real estate stocks generally recovered; In June, the penetration rate of new energy is expected to be close to 50%, and new energy vehicle stocks are active. On the other hand, Nvidia plummeted 6.7% overnight, falling for three consecutive trading days, and semiconductor stocks continued to fall; Apple concept stocks, Bitcoin concept stocks, etc. have fallen.

1. Semiconductor stocks extended their decline. At the close, Hua Hong Semiconductor (01347) fell 6.22% to HK$21.85, SMIC (00981) fell 4.34% to HK$17.2, and Shanghai Fudan (01385) fell 2.12% to HK$12.

Nvidia plunged 6.7% overnight, its biggest one-day drop in two months, for three consecutive trading days, with a cumulative decline of nearly 13% and a market value of about $430 billion. Tianfeng Securities Research Report pointed out that the industry cycle is currently in a relatively low range, and the bank believes that in the short term, it should improve its sensitivity to changes in the demand side, and the financial statements of the varieties that give priority to recovery are expected to be prioritized for improvement. In terms of innovation, it is expected that artificial intelligence/satellite communication/MR will be a major industrial trend, and the stocks in the industrial chain are expected to continue to reflect thematic opportunities with the progress of technological innovation.

2. Bitcoin concept stocks were lower throughout the day. At the close, OSL Group (00863) fell 13.39% to HK$5.24, Meitu (01357) fell 3.37% to HK$2.58, and Langang Interactive (08267) fell 1.43% to HK$0.345.

Bitcoin experienced its second-largest weekly decline since 2024, falling below $60,000 last night, the first time since May 3, and falling more than 7% in 24 hours. Previously, the US Bitcoin ETF was hit by six consecutive days of net outflows. Analysts point out that in addition to the risk of increased supply, the deeper reason for Bitcoin's correction may be that investors are reevaluating the attractiveness of cryptocurrencies relative to other investments.

3. Apple concept stocks fell. At the close, Sunny Optics (02382) fell 3.45% to HK$47.55, Q Technology (01478) fell 2.64% to HK$4.05, and BYD Electronics (00285) fell 2.6% to HK$37.45.

According to the Science and Technology Innovation Board Daily, Apple has reported that it is asking foundries to reduce the manpower of iPhone assembly lines by 50% in the next few years as part of the goal of improving automated production. In addition, the European Commission preliminarily ruled on the 24th local time that Apple's online app store rules in the United States violated the EU's Digital Markets Act, and launched a new non-compliance investigation against Apple. Under the Digital Markets Act, the European Commission can impose fines on Apple up to 10% of the company's total global turnover in the event of a violation.

4. Education stocks are mostly higher. At the close, New Oriental-S (09901) rose 5.06% to HK$59.2, Excellence Education Group (03978) rose 4.62% to HK$3.4, and China Kepei (01890) rose 4% to HK$1.56.

The research report of Cinda Securities pointed out that it emphasizes the three main investment lines of the education industry: (1) extracurricular training: marginal optimization of policies, accelerated expansion, strong demand, and clear supply. (2) Recruitment training: the number of public examinees is growing rapidly, and the change in examination time does not change the medium and long-term high prosperity. (3) Stable growth & high dividends: China Education Holdings and New Higher Education Group of Hong Kong stocks.

5. New energy vehicle stocks rose across the board. At the close, Great Wall Motor (02333) rose 4.01% to HK$12.46, NIO-SW (09866) rose 2.84% to HK$34.45, and Leapmotor (09863) rose 2.51% to HK$26.55.

According to the China Association of Automobile Manufacturers, in May 2024, NEV production and sales reached 940,000 units and 955,000 units, up 31.9% and 33.3% y/y, respectively, with a market share of 39.5%. In addition, according to the Passenger Car Association, the retail sales of narrow passenger cars in June were about 1.75 million units, an increase of 2.3% month-on-month; It is estimated that the retail sales of new energy passenger vehicles will be about 860,000 units, an increase of 6.9% month-on-month, and the penetration rate of new energy vehicles will reach 49.1%. Tianfeng Securities believes that the Central Financial and Economic Commission has taken the lead in promoting the trade-in policy of automobiles, and the policy has catalyzed the correction of pessimistic expectations in demand.

Popular abnormal stocks

1. Chinese Real Estate (00127) rose sharply, up 28.23% to HK$1.59 as of the close.

According to CCASS data, on June 19, 231 million shares or 12.1% of Chinese Estates shares were deposited into CCASS and transferred to BNP Paribas positions, with a market value of about HK$263 million at the closing price of HK$1.14 on that day. According to the annual report, Lau Luen Hung and Chan Hoi Wan together hold nearly 75% or about 1.431 billion shares of Chinese Estates, of which 231 million shares are held through Joseph Lau Luen Hung Investments Limited, which is the same number of shares in the warehouse.

2. Henlius (02696) moved higher throughout the day. As of the close, it rose 19.43% to HK$22.5.

Fosun Pharma announced that it proposes to privatize Henlius by way of merger by absorption, with a cash cancellation price of HK$24.6 per H share, a premium of 30.57% over the closing price before the suspension of Henlius. Upon fulfillment of the conditions, Henlius will apply to the Stock Exchange for voluntary withdrawal of the listing of the H Shares.

3. China Want Want (00151) rose after the results, up 5.5% to HK$4.41 as of the close.

Want Want China announced its results for the year ended March 31, 2024 at noon, and the group achieved revenue of 23.586 billion yuan (RMB, the same below) during the period, an increase of 2.9% year-on-year; profit attributable to equity holders of the company was 3.99 billion yuan, an increase of 18.4% year-on-year; A final dividend of US3.3 cents per share is proposed.

4. The share price of PC Energy Group (01263) fell sharply, falling 12.25% to HK$4.44 as of the close.

PC Energy Group announced that there have been market rumors circulating on a social media platform recently, pointing out that the company may be privatized and may withdraw its listing. The Board hereby clarifies that as at the date of this announcement, the Board has no intention of privatizing the Company even if it decides to proceed with a proposed delisting.