Core Viewpoint - The Hong Kong stock market has experienced significant declines, with the Hang Seng Index and Hang Seng Tech Index dropping over 1% and 2% respectively, leading to a widespread sell-off in Hang Seng bull certificates [1][3]. Market Performance - On December 9, the Hang Seng Index fell by more than 1%, while the Hang Seng Tech Index saw a decline exceeding 2% [3]. - A variety of Hang Seng bull certificates suffered drastic losses, with some, like the Hang Seng Bank 80 Bull V, dropping over 74% [1][4]. Market Influences - The recent weakness in the Hong Kong stock market is attributed to external factors, particularly the ongoing decline in the global bond market and expectations of a hawkish stance from the Federal Reserve regarding interest rates [1][6]. - The average daily trading volume in the Hong Kong market has decreased to approximately HKD 195.1 billion, down 15.4% from HKD 230.7 billion in November, indicating potential liquidity issues [5]. Sector Performance - New consumption concept stocks in the Hong Kong market have collectively declined, with notable drops in companies like Pop Mart and Blukoo, which fell over 4% [4]. - Semiconductor stocks also faced declines, with Tianyu Semiconductor dropping nearly 5% and other major players like Huahong Semiconductor and SMIC following suit [4]. Future Outlook - Despite the current declines, some analysts believe that the valuation of Hong Kong stocks may be attractive, but a rebound is not expected in the short term [8]. - The market is closely watching the upcoming Federal Reserve meeting and the potential interest rate decisions from the Bank of Japan, which could further influence market dynamics [9].