Ge Long Hui·2025-05-13 08:51Market Performance - The Hong Kong stock market showed a weak performance on May 13, with major indices declining, particularly the Hang Seng Tech Index which fell by 3.26% [1][2] - The Hang Seng Index and the China Enterprises Index decreased by 1.87% and 2.02% respectively, ending an eight-day rally for the Hang Seng Index [1][2] Sector Performance - Major technology stocks experienced significant declines, with Meituan and Kuaishou dropping over 4%, while Alibaba and Xiaomi fell more than 3% [4][5] - Apple-related stocks, automotive stocks, and semiconductor stocks also saw notable declines, with some Apple-related stocks dropping over 7% [5][6] - The semiconductor sector faced losses, with companies like Hua Hong Semiconductor and SMIC falling over 4% [7][8] Short Selling and Market Sentiment - There was a substantial increase in short selling of major tech companies from May 8 to May 12, raising concerns about the sustainability of the market rebound [4] - The market sentiment shifted towards increased bearishness following positive signals in US-China trade relations [4] Gold and Biopharmaceuticals - Gold stocks gained traction, with significant increases in companies like Tongguan Gold, which rose over 15% [9][10] - Biopharmaceutical stocks rebounded, with companies like Junshi Biosciences and Innovent Biologics seeing gains of over 4% [9] Banking Sector - The banking sector saw gains, with banks like Chongqing Bank and Jiangxi Bank rising over 4% following a 0.5% reserve requirement ratio cut announced by the People's Bank of China [11] Investment Outlook - Nomura Securities upgraded its rating on Chinese stocks to "tactical overweight" post US-China trade negotiations, indicating a shift in investment strategy [13] - Citigroup raised its year-end target for the Hang Seng Index by 2% to 25,000 points, projecting it could reach 26,000 by mid-2026 [13]