Group 1: Market Sentiment and Technical Analysis - The Hang Seng Index (HSI) shows a mixed sentiment with bullish investors expecting a rebound and bearish investors anticipating a drop to the 24,900 heavy load area [1] - Technical analysis indicates a primary buy signal for HSI, with a resistance level at 25,748 and a suggested recovery price for bearish options at 25,688, which is close to the resistance level [1] - For China Petroleum (00857.HK), a strong buy signal is noted, with the first resistance level at 8.18, indicating potential for further upward movement [3] Group 2: Individual Stock Analysis - China Resources Beer (00291.HK) is showing a buy signal with a closing price of 27.25, and resistance at 28.1, suggesting potential for a rebound [6] - Tencent Holdings (00700.HK) has a buy signal with 14 buy and 5 sell signals, and a resistance level at 560, with support levels at 529 and 510 for potential low-price entry [9] - Meituan-W (03690.HK) has a short-term buy signal with a closing price of 127.4, and support levels at 122.1 and 116.1 [11] - China Life Insurance (02628.HK) is on a strong upward trend with a buy signal, resistance levels at 24.6 and 27, both below the 30 mark [13]

Core Insights - The report highlights a positive market sentiment following the trade agreement between the US and EU, contributing to new record highs in US stock indices [9][11] - The report notes that while US stock indices are reaching new highs, there are warnings from Goldman Sachs about accumulating short-term risks in the market [11] - The report discusses the ongoing trade negotiations between the US and China, emphasizing the importance of outcomes for market stability [11][14] Market Overview - The Hang Seng Index closed up by 173 points (0.7%), while the Hang Seng Tech Index recorded three consecutive declines [14] - The report indicates that Hong Kong's exports have increased for 16 consecutive months, with June's export value reaching HKD 417.8 billion, a year-on-year increase of 11.9% [14] - The report mentions that the MSCI China Index's 12-month target has been raised from 85 to 90 points, indicating an 11% upside potential [14] Company Recommendations - The report recommends buying Kowloon Warehouse Holdings (1997) due to its stable cash flow from core assets in Hong Kong [22] - It suggests that AIA Group (1299) is benefiting from increased demand from mainland visitors and local market recovery, with a notable growth in new business value [22] - Prologis, Inc. (PLD) is highlighted as a leading industrial logistics REIT with a market capitalization exceeding USD 100 billion [24] Economic Data - The report outlines key economic data releases, including US wholesale and retail inventory figures for June, and the FHFA House Price Index for May [21] - It notes that the US Treasury Department estimates a debt issuance of USD 1.007 trillion for the third quarter, an increase of USD 453 billion from previous estimates [11]

Group 1: Market Sentiment and Technical Analysis - Investors are divided on the Hang Seng Index (HSI), with bullish investors entering at 24,000 points and bearish investors expecting a drop to the same level, deploying bear certificates with a redemption price of 24,888 [1] - Technical analysis indicates a "buy" signal for the HSI, with the first resistance level at approximately 24,600 points, and a potential upward test towards 25,000 points if this level is breached [1] - Investors are advised to choose bear certificates with redemption prices above the second resistance level of 25,000 to avoid immediate redemption risks, even if it means sacrificing some leverage [1] Group 2: Company-Specific Insights - WuXi Biologics (02269.HK) shows a temporary "buy" signal with 15 buy signals and no sell signals, but there are 9 neutral signals indicating caution; resistance levels are at 28.5 and 29.5 [3] - WuXi AppTec (02359.HK) has a "buy" signal with 14 buy signals and 4 sell signals, indicating potential upward movement with short-term resistance at 98 and 99.6 [6] - Trip.com Group (09961.HK) has a "strong buy" signal after a rebound from 434.2 to 499.8, with resistance levels at 505 and 531 [9] - AIA Group (01299.HK) shows a mixed outlook with 15 buy signals and 3 sell signals; resistance levels are at 71.6 and 73.8, suggesting caution before challenging 75 [11] - JD.com (09618.HK) is experiencing bearish sentiment with a "sell" signal, and investors are advised to wait for a drop to 115 before considering entry [14]

Company Recommendation - BYD Electronics (0285) is recommended for purchase with a target price of HKD 38.50, indicating a potential upside of 16.7% from the current price of HKD 33.95 [2][10] - The catalysts for growth include the lifting of the EDA ban in the US and the completion of the US-Vietnam trade agreement, which is expected to ease concerns regarding upstream supply chain pricing and gross margin pressures [2][10] - The company is diversifying into AI servers, liquid cooling, and Autonomous Mobile Robots (AMR), with a strong partnership with NVIDIA, which is anticipated to drive new growth momentum [2][10] Valuation - The current price corresponds to a forecasted P/E ratio of 13.2x for FY25E and 11.2x for FY26E, with FY26E valuation being 29% lower than the 5-year average [2][10] - The expected revenue and net profit compound annual growth rates for FY24-FY27E are 11.6% and 22.4%, respectively [2][10] Market Review - The Hang Seng Index is facing resistance at 24,700 points, influenced by US-China trade negotiations and limited progress in economic stimulus from mainland China [2][4] - The market is experiencing a slowdown in capital inflow from Northbound trading, with corporate earnings showing limited improvement [2][4] Industry Insights - The automotive sector in China is showing resilience, with a 22.2% year-on-year increase in vehicle exports in June, and production and sales also reflecting positive growth [11] - The construction and real estate sectors are seeing increased land sale revenues, particularly in first and second-tier cities, with a 40% increase in land sale amounts [11] - The gaming industry in Macau is expected to benefit from strong summer season revenues, with June's gaming income exceeding expectations [5]

Core Viewpoint - China Ping An (02318.HK) shows strong market performance with significant buying interest, indicating a potential upward breakout in stock price [1][4]. Technical Analysis - The stock price increased by 4.34% on July 10, closing at HKD 51.65, with a trading volume of HKD 4.181 billion, reflecting active market buying [1]. - As of 10:35 AM, the stock price rose to HKD 53.45, marking a 3.48% increase [1]. - Technical indicators suggest a bullish trend, with the stock successfully breaking above the 10-day (HKD 50.33) and 30-day (HKD 48.34) moving averages, and remaining above the 60-day moving average (HKD 47.12) [1]. - The MACD indicator shows a bullish crossover, and multiple technical indicators are signaling a "strong buy" [1][4]. Support and Resistance Levels - Key support levels are identified at HKD 48.9 (Support 1) and HKD 47.9 (Support 2), with the first resistance level at HKD 53.6 (Resistance 1) and a potential challenge at HKD 55.3 (Resistance 2) [4]. - The RSI indicator is at 57, nearing the overbought zone, but has not yet issued a sell signal, indicating further upward potential with a 54% probability of price increase [4]. Derivative Products - Bullish derivative products such as Morgan Stanley Bull Certificate (53099) and Societe Generale Bull Certificate (68530) have shown strong performance, with two-day gains of 14% and 11% respectively [4][11]. - Recommended call options include UBS Call Option (16750) and Bank of China Call Option (16856), both with a strike price of HKD 60.71 and approximately 9x leverage [7]. - For put options, UBS Put Option (28275) and HSBC Put Option (28259) are attractive, with a strike price of HKD 50.13 and around 7x leverage [7]. Investment Strategy - Investors are advised to monitor volume changes closely; a sustained breakout above HKD 53.6 could initiate a new upward trend [4]. - The recommended bull certificates have a safety margin with a redemption price set at HKD 44.2, providing about 7x actual leverage, suitable for medium-risk investors [11].

Market Overview - The Hang Seng Index is facing resistance at 24,700 points, with a projected P/E ratio of 11 times over the next 12 months [2] - The index closed at 23,916 points, down 0.64% year-to-date, while the Hang Seng China Enterprises Index fell 0.45% [4] - The market is experiencing a slowdown in capital inflow from mainland investors, and corporate earnings improvements are limited [2][5] Macro Focus - The U.S. Federal Reserve maintained interest rates, with expectations of two rate cuts totaling 0.5% this year, reflecting a cautious stance on future inflation uncertainties [3] - OPEC+ has agreed to increase production by 548,000 barrels per day in August, exceeding market expectations, which may limit the upward potential of international oil prices [8] Company News - China Feihe (6186) expects a decline in half-year earnings, projecting net profit between 1 billion to 1.2 billion RMB, with a total dividend of no less than 2 billion RMB for the year [9] - Xiaomi (1810) has officially delivered its first batch of the YU7 SUV, priced between 253,500 to 329,900 RMB, with significant initial order numbers [9] - BYD (1211) reported a 54.4% month-on-month increase in sales of its Tang L model, reaching 12,700 units in June [9] - NIO (9866) announced that its L90 model will be priced below 300,000 RMB, with a product launch event scheduled [9] Industry Insights - The biotechnology sector is expected to benefit from new government measures supporting the high-quality development of innovative drugs [6] - Macau's gaming revenue in June increased by 19% year-on-year, significantly exceeding expectations, indicating a recovery in the gaming industry [6] - The textile industry anticipates improved orders as Nike's performance is expected to stabilize [6] Economic Indicators - China's smartphone shipments fell by 22% year-on-year in May, with 5G phone shipments decreasing by 17% [8] - The average price of international tickets from mainland China has decreased by 15% this summer, with significant drops in prices for flights to Canada and Japan [8]

Core Viewpoint - AIA Group (01299.HK) shows significant bullish signs in its stock price, driven by multiple technical indicators improving simultaneously, suggesting potential trading opportunities for investors [1][4]. Technical Analysis - AIA's stock price is currently at HKD 69.35, with a decline of 4.15%. The 5-day volatility is at 3.2%, indicating a neutral range, while the trading volume reached HKD 1.902 billion, reflecting high market participation [1]. - The 10-day moving average (MA10) has risen to HKD 70.19, crossing above the 30-day (HKD 68.04) and 60-day (HKD 63) moving averages, forming a "golden cross" and indicating a potential mid-term upward trend [1]. - The stock price has established a clear support level below the first resistance at HKD 73.9. A successful breakout above this level could target HKD 76.2, while short-term support levels are at HKD 67.3 and HKD 69.6 [4]. Derivative Products Performance - Leveraged products related to AIA have shown significant amplification effects. For instance, HSBC's bull certificate (55603) and UBS's bull certificate (55450) recorded gains of 14%, maintaining a leverage ratio of approximately 5 times [1]. - Notably, UBS's call option (13504) surged by 22%, and Bank of China's call option (28665) increased by 24%, with leverage effects reaching 8-9 times, outperforming bull certificates [2]. Market Sentiment and Strategy - The overall technical indicators provide a strong buy signal, with a composite strength score of 16, indicating a bullish consensus among most indicators. The RSI is at 66, suggesting the upward momentum is still intact despite entering the overbought territory [4][7]. - The current market environment is favorable for price consolidation at high levels, with short-term investors considering derivative products for aggressive strategies. The volatility increase and market uncertainty make selecting appropriate call or bull certificates crucial for participating in potential upward movements while managing risks [7][8]. Options and Certificates - Among the available call options, the Bank of China's option (28665) has a leverage of 9.8 times with a strike price of HKD 73.15, while UBS's option (13504) has a leverage of 8.8 times with a slightly lower strike price of HKD 72.05. Both options are set to expire in September 2025, making them suitable for short to medium-term bullish strategies [8]. - In the bull certificate category, UBS's (55450) and HSBC's (55603) products have a redemption price of HKD 60, with actual leverage ratios of 5.3 and 5.5 times, respectively. These certificates are considered stable tools for participating in upward trends, especially if the stock price holds above the HKD 70 support level [8].

Market Overview - The Hang Seng Index is facing resistance at 24,700 points, with a projected P/E ratio of 11 times over the next 12 months, following a reduction in tariffs between the US and China [2] - The market sentiment remains cautious due to limited progress in US-China trade talks and a lack of significant economic stimulus from mainland China [2] Macro Focus - The Caixin China Services PMI fell to 50.6 in June, below expectations, indicating a slowdown in service sector expansion [3][8] - Retail sales of new energy vehicles in China increased by 25% year-on-year in June, with a penetration rate of 52.7% [8] - The Ministry of Commerce plans to strengthen guidance on second-hand vehicle exports, aiming to support the development of the second-hand car market [8] - The Macau gaming sector saw a 19% year-on-year increase in June gaming revenue, exceeding expectations [6] Company News - Alibaba issued over 12 billion HKD in zero-coupon convertible bonds for Alibaba Health [3] - Geely Auto is entering the Italian market, while XPeng's G7 model starts at 195,800 RMB [3] - HSBC Holdings sold its UK insurance business for approximately 260 million GBP [3] Industry Insights - The biotechnology sector is expected to benefit from new measures supporting the high-quality development of innovative drugs [6] - The textile industry anticipates improved orders as Nike's performance is expected to stabilize [6] - The solar industry is facing challenges due to low-price competition, prompting the Ministry of Industry and Information Technology to call for comprehensive governance [9] IPO Market - KPMG estimates that the total amount raised from new IPOs in Hong Kong could reach up to 250 billion HKD this year, with over 200 applications currently being processed [9]

Core Viewpoint - China Life Insurance Company Limited is establishing a partnership with China Nuclear Power and the China-Russia Nuclear Industry Fund to create a partnership enterprise with a total capital contribution of RMB 1.501 billion, where China Life will contribute RMB 1.2 billion [2][3][7]. Group 1: Partnership Agreement - The partnership will include China Life Insurance, China Nuclear Power, and the China-Russia Nuclear Industry Fund as limited partners, while Guangzhou Jinhong and the China Nuclear Fund will act as general partners [3][6]. - The total capital contribution from all partners is RMB 1,501,000,000, with specific contributions detailed as follows: - Guangzhou Jinhong: RMB 1,000,000 - China Nuclear Fund: RMB 1,000,000 - China Life: RMB 1,200,000,000 - China Nuclear Power: RMB 279,000,000 - China-Russia Nuclear Industry Fund: RMB 20,000,000 [3][4]. Group 2: Investment Strategy - The partnership enterprise aims to invest in domestic nuclear power companies involved in the development, investment, construction, and operation of nuclear power projects, contributing to China's clean and low-carbon energy development [5][6]. - The investment period for the partnership is set for six years, followed by a four-year exit period, with the possibility of extending the duration if necessary [5]. Group 3: Management and Fees - Guoshou Jingshi will serve as the manager of the partnership, providing daily operational and investment management services, with an annual management fee of 0.1% of the total capital contributions [6][8]. - An investment decision committee will be established to oversee investment and exit decisions, while an investment advisory committee will evaluate potential conflicts of interest and compliance with regulations [6][7]. Group 4: Rationale for the Transaction - The investment in nuclear assets is expected to provide long-term, stable dividend returns, aligning with the company's strategy to enhance long-term investment returns and support green finance initiatives [7][8]. - The transaction is deemed fair and reasonable, conducted under normal commercial terms, and is in the overall interest of the company and its shareholders [7].

Core Viewpoint - China Life Insurance (02628.HK) has shown strong technical performance, breaking out of a previous sluggish phase and establishing a mid-term upward trend, with significant trading volume indicating increased investment in the financial insurance sector [1][3]. Technical Analysis - The stock price has surpassed key resistance levels of 16.00 to 16.14 HKD and is approaching a short-term resistance level of 17.10 HKD. A solid hold above this level could pave the way for challenges to previous highs of 19 HKD and even 20.50 HKD [3]. - The technical structure displays a typical W-bottom rebound, supported by ideal trading volume, indicating market consensus on the rebound and suggesting the potential for a new mid-term upward trend [3]. - Technical indicators such as the MACD show a bullish momentum with a golden cross and increasing histogram, while the RSI is above 70, indicating overbought conditions but without clear signs of weakness [3][6]. Market Signals - Currently, the market has set a short-term target price for China Life at 18.42 HKD, suggesting approximately 2.91% upside potential, with mid-term potential to challenge above 20 HKD [6]. - The market sentiment remains highly bullish, with 16 strong buy signals identified, reflecting a strong technical buying consensus [6]. Investment Strategy - Investors are advised to monitor the consolidation platform between 16.10 and 16.30 HKD. If the stock price maintains stability and breaks above 17.20 HKD with increased volume, it will confirm the breakout, allowing for incremental buying with targets set between 19 and 20.50 HKD [9].