Global Market Overview - The Hang Seng Index closed at 25,802, up 0.43% for the day and 28.62% year-to-date [1] - The Shanghai Composite Index closed at 3,917, up 0.69% for the day and 16.87% year-to-date [1] - The Shenzhen Composite Index closed at 2,493, up 1.13% for the day and 27.35% year-to-date [1] - The US Dow Jones closed at 48,363, up 0.47% for the day and 13.68% year-to-date [1] - The S&P 500 closed at 6,878, up 0.64% for the day and 16.95% year-to-date [1] Sector Performance - In the Hong Kong market, materials, consumer staples, and energy sectors led the gains, while healthcare, conglomerates, and telecommunications lagged [3] - The Hang Seng Financial Index closed at 48,788, up 0.52% for the day and 38.85% year-to-date [2] - The Hang Seng Industrial Index closed at 14,047, up 0.41% for the day and 24.87% year-to-date [2] - The Hang Seng Real Estate Index closed at 17,759, down 0.08% for the day and 19.08% year-to-date [2] Capital Flows - Southbound capital recorded a net inflow of 3.13 billion HKD, with notable net purchases in SMIC, Xiaomi, and Tencent [3] - Major net sell-offs were observed in China Mobile, Alibaba, and Pop Mart [3] Economic Indicators - The People's Bank of China (PBOC) has kept the Loan Prime Rate (LPR) unchanged for seven consecutive months, with expectations of two rate cuts totaling 20 basis points in Q1 and Q3 of next year [3] - The Ministry of Commerce announced temporary anti-subsidy measures on dairy products imported from the EU [3] International Market Insights - The US stock market saw gains in materials, financials, and industrials, while consumer staples, information technology, and utilities underperformed [3] - Nvidia made significant adjustments to its cloud business strategy, focusing on internal demand for chips rather than external sales [3] - Tesla reached a new historical high during trading [3] Interest Rates and Commodities - US Treasury yields rose, with weak demand observed in the two-year bond auction [3] - The dollar index retreated, while gold, silver, and copper reached historical highs [3] - Oil prices increased due to the US blocking Venezuelan oil exports [3]

Group 1: Market Activity - Southbound funds net bought Hong Kong stocks worth 1.551 billion HKD on June 20, with notable net purchases in China Construction Bank (689 million HKD), SMIC (532 million HKD), and Southern Hang Seng Technology (429 million HKD) [1] - Tencent Holdings experienced a significant net sell-off of 1.234 billion HKD, marking a continuous net sell for 16 days totaling 18.58564 billion HKD [4][5] - Bubble Mart saw a net sell of 654 million HKD, continuing a trend of net selling for 3 days with a total of 2.10136 billion HKD [4] Group 2: Company Insights - China Construction Bank is expected to benefit from potential interest rate cuts in the second half of the year, enhancing financial stability and service capabilities [5] - SMIC's market share has increased to 6%, closing in on Samsung Electronics, which has seen its market share drop to 7.7% [5] - Tencent Holdings reported a growth in China's gaming market, with a market size of 28.051 billion CNY in May 2025, reflecting a year-on-year growth of 9.86% [6] - Bubble Mart's stock rating was adjusted by Morgan Stanley, while Morgan Chase raised its target price from 250 HKD to 330 HKD, indicating a positive outlook for the company [6] - Citigroup highlighted concerns over oil supply disruptions due to geopolitical tensions, predicting a potential price increase of 15% to 20% for oil if Iranian exports are interrupted [6]