The Hong Kong stock market continued to rise again, and the three major indexes closed up, of which the Hang Seng technology index rose for two consecutive days.
central financial and Economic Commission meeting released heavy news, Hong Kong stocks rose again
The 11th Central Financial and Economic Commission meeting held on Tuesday released heavy news, which mentioned comprehensively strengthening infrastructure construction and guiding market expectations .
The meeting pointed out that we should strengthen the construction of network infrastructure such as transportation, energy and water conservancy, focus on networking, network supplement and chain strengthening, and strive to improve network efficiency. We will accelerate the construction of the main framework of the national comprehensive three-dimensional transportation network, strengthen the planning and construction of coastal and inland ports and waterways, and optimize and upgrade the national water transport facility network. We will accelerate the construction of the main framework and arteries of the national water network, and promote the construction and modernization of key water sources, irrigation areas and flood storage and detention areas. Orderly promote the construction of underground comprehensive pipe corridors, and strengthen the construction of urban flood control and drainage, sewage and garbage collection and treatment systems.
On Monday, the people’s Bank of China announced on the 25th that from May 15, the foreign exchange deposit reserve ratio will be reduced by 1 percentage point from the current 9% to 8%, which will help reduce the depreciation expectation of the RMB exchange rate, and the release of policy signals is more important.
With the introduction of a number of measures in China, the Hong Kong stock market rose again. As of the close, the science and technology index rose 1.68% to close at 398114 points; The Hang Seng Index rose 0.06% to close at 1994636; The SOE index rose 0.57% to close at 398114.
Return to work in an orderly manner
In terms of news, since Shanghai issued relevant guidelines on resumption of work and production, many companies have announced resumption of work one after another. Taking Semiconductor Manufacturing International Corporation(688981) (00981. HK) as an example, the company said that it began to implement closed-loop management on March 18, realizing the synchronous integrated closed-loop management of Zhangjiang plant and two living parks. The total number of employees in the closed-loop accounted for more than 60% of employees in Shanghai, effectively ensuring the stable operation during the epidemic period. At present, the capacity utilization rate remains at a high level.
Benefiting from the resumption of work and production, the Hang Seng science and technology index has risen for two consecutive days, and some constituent stocks of the science and technology index have maintained a rising trend. Among them, Kwai -w (01024.hk), JD group (09618.hk), meituan -w (03690.hk) and Xiaomi group -w (01810.hk) have increased by 5%, 3.58%, 1.79% and 9.57% respectively, bringing a cumulative increase of 40.19 points in the science and technology index, accounting for more than half of the total increase.
Note: performance of some constituent stocks of science and technology index
institutions are optimistic that the rebound strength in the third quarter depends on steady growth
Founder Securities Co.Ltd(601901) today pointed out that at present, three factors have led to the adjustment of Hong Kong stocks. The first is the impact of the epidemic. In April, the mainland economy has had a real impact. Although the steady growth policy may continue to be introduced later, the macro expectation of the market has weakened. Secondly, the impact of the Fed’s interest rate hike and contraction has not been fully priced. Finally, the pressure of RMB devaluation may still exist in the medium term.
Therefore Founder Securities Co.Ltd(601901) predicts that the end of the Hong Kong stock market will appear in the third quarter, but the resilience depends on the combined effect of the mainland’s steady growth policy and the situation of epidemic prevention and control.
In terms of sectors, concept stocks such as infrastructure and non-ferrous metals led the rise, while individual stocks such as Hong Kong banks, real estate and medicine led the decline.
policy continued to overweight, and infrastructure stocks led the rise sharply
Among infrastructure stocks, China Zhongzhi (01618. HK), China State Construction Engineering Corporation Limited(601668) International (03311. HK), China Railway Construction Corporation Limited(601186) (01186. HK) and China Communications Construction (01800. HK) rose 3.79%, 4.69%, 4.12% and 2.84%.
In terms of news, in the meeting of the central finance and Economic Commission, it was mentioned to strengthen infrastructure construction. This also led to the continued strength of building materials stocks and non-ferrous metal stocks.
Some analysts pointed out that with the expected strengthening of infrastructure, it will help boost the market demand for building materials and related raw materials.
As of the closing, China building materials (03323. HK) rose 7.5%, Anhui Conch Cement Company Limited(600585) (00914. HK) rose 6.65%, Xingfa aluminum (00098. HK) rose 9.32%, and Aluminum Corporation Of China Limited(601600) (02600. HK) rose 7.04%.
Ping An Securities recently pointed out that it is expected that the growth rate of medium and long-term loans will stabilize in the second quarter of 2022 under the escort of monetary policy. At the same time, tax rebates and special bonds retained by fiscal policies will also be accelerated in the second quarter. With the support of “steady growth” and “broad credit”, the driving force of economic growth will gradually recover, and China’s economy is expected to “bottom” in the second quarter.
Hong Kong banking stocks fell collectively, Hang Seng Bank fell more than 3%
Among Hong Kong banking stocks, Hang Seng Bank (00011. HK) and HSBC Holdings (00005. HK) fell 3.38% and 2.83% respectively.
Among them, taking HSBC Holdings as an example, the bank recently announced the results of the first quarter of 2022, and the benchmark revenue decreased by 4% to US $12.464 billion; The profit attributable to common shareholders of the parent company was USD 2.803 billion, a year-on-year decrease of about 27.76%.
In addition, JPMorgan Chase recently released a report that the performance of HSBC Holdings in the first quarter was mixed, but the performance of key capital adequacy ratio was inferior, indicating that the expectation of further additional share repurchase this year was disappointed.
In addition to the adjustment of bank stocks, real estate and pharmaceutical stocks showed a consolidation trend.
Among real estate stocks, Xingxing group (01560. HK), Yutian China (00313. HK) and Tianchen Holdings (01201. HK) fell 14.47%, 9.09% and 7.25% respectively.
Among pharmaceutical stocks, tailing Pharmaceutical (01011. HK) and Shanghai Fosun Pharmaceutical (Group) Co.Ltd(600196) (02196. HK) fell 18.80% and 5.93% respectively.
In addition, Shandong Shandong Xinhua Pharmaceutical Company Limited(000756) shares (00719. HK) rose against the trend today. The company reached a strategic cooperation agreement with Henan Zhenzhen Biotechnology Co., Ltd., which also turned Shandong Xinhua Pharmaceutical Company Limited(000756) into a domestic covid-19 oral drug manufacturer and distributor.
As of the closing, Shandong Shandong Xinhua Pharmaceutical Company Limited(000756) shares (00719. HK) rose 50.23% to close at HK $6.55.
southbound funds
Southbound funds flowed in HK $2.828 billion today, with a total inflow of HK $10.528 billion since April.
Note: inflow level of southward funds in recent one month
market stock news and changes
[chuangmengtiandi closed up more than 30% and maintained market confidence after the flash collapse]
Chuangmengtiandi (01119. HK) rose 37.80% to HK $2.88.
The company announced on Tuesday that the board of directors had noticed the fluctuation of share price and trading volume. As of the announcement date, all business operations were normal, online business was carried out normally, and offline store expansion was carried out in an orderly manner. The company is full of confidence in the future development prospects.
[ Ganfeng Lithium Co.Ltd(002460) increased by more than 10% and the net profit attributable to the parent company in the first quarter increased by as much as 6 times year-on-year]
Ganfeng Lithium Co.Ltd(002460) (01772. HK) rose 12.50% to HK $92.25. The company announced that the operating revenue in the first quarter of 2022 was 5.365 billion yuan, a year-on-year increase of 233.91%; The net profit attributable to the parent company was 3.525 billion yuan, a year-on-year increase of 640.41%.
[SIMORE international rose 8% and the rule of law standardization policy for e-cigarette industry was issued]
Smore International (06969. HK) rose 8.3% to HK $17.48. The State Tobacco Monopoly Administration recently issued a number of measures to release the pre examination rules for the listing of e-cigarette enterprises on Tuesday. The relevant competent departments should issue examination opinions within 20 working days, or benefit the industry leaders.
