Market Performance - The Hang Seng Index opened 197 points lower and closed 249 points or 1% down at 25,270, with a daily trading volume up over 15% to HK$312.687 billion [1] - The Shanghai Composite Index rose 30 points or 0.8% to 3,696, with a turnover of RMB960.6 billion; the Shenzhen Component Index rose 183 points or 1.6% to 11,634, with a turnover of RMB1.28 trillion; the ChiNext Index rose 64 points or 2.6% to 2,534, with a turnover of RMB652.2 billion [2] - The Dow Jones Industrial Average rose 34 points or 0.1% to 44,946; the S&P 500 Index fell 18 points or 0.3% to 6,449; the Nasdaq Composite Index fell 87 points or 0.4% to 21,622 [2] Central Bank Operations - The People's Bank of China conducted a 7 - day reverse repurchase operation worth RMB238 billion at an unchanged rate of 1.4% on the 15th, with a net injection of RMB116 billion after RMB122 billion of reverse repurchases matured. It also carried out a 6 - month buy - out reverse repurchase operation worth RMB500 billion [2] - The central parity rate of the RMB against the US dollar was lowered by 34 points to 7.1371 [2] Corporate News - Huahong Semiconductor is planning to acquire the controlling stake of Shanghai Huili Microelectronics by issuing shares and paying cash, and is currently in contact with potential transaction parties [4] - Argo Biopharma is considering an IPO in Hong Kong, aiming to raise about US$300 million (equivalent to about HK$2.34 billion) [4] - China Shenhua plans a mid - 2025 profit distribution, with the amount not less than 75% and not more than the attributable net profit to shareholders in the first half of the year [4] - Longfor Group issued a profit warning, expecting a 45% drop in profit and a 70% drop in core profit for the six months ended June compared to last year due to the decline in the real estate industry [5] - China Hongqiao reported a 10.1% year - on - year increase in revenue to RMB81.039 billion and a 35% increase in net profit to RMB12.361 billion for the six months ended June, with no interim dividend [5] - Sands China reported a 23.7% year - on - year drop in net profit to US$413 million for the six months ended June, with an interim dividend of HK$0.25 [5] International News - US President Trump and Russian President Putin met in Alaska but did not reach a consensus on a cease - fire in Ukraine. Trump said they discussed land transfer and security guarantees in Ukraine and were close to an agreement, pending Ukraine's approval [3] - Based on the results of the meeting, Trump said he did not think it was necessary to take action regarding China's purchase of Russian oil for the time being and might reconsider in two to three weeks [3] Banking Data - In the first half of 2025, commercial banks in China achieved a cumulative net profit of RMB1.2 trillion. At the end of the second quarter of 2025, the average return on capital was 8.19% and the average return on assets was 0.63% [4]

Market Overview - The Hang Seng Index is expected to challenge the 26,000 point mark due to stable economic performance in mainland China and a lack of willingness to implement further economic stimulus measures [1] - The agreement between China and the US to extend the tariff truce and the active trading in Hong Kong stocks contribute to a positive risk appetite [1] - The upcoming earnings reports from major technology stocks could provide momentum for the market [1] Macro Focus - In July, industrial production, consumption, and fixed asset investment in mainland China all showed signs of slowing down, with fixed asset investment reaching a five-year low [2][7] - The People's Bank of China is implementing a moderately loose monetary policy to support economic growth [7] - Hong Kong's GDP growth for Q2 was 3.1%, maintaining the annual growth forecast at 2% to 3% [7] Company News - China Hongqiao's mid-term profit increased by 35% to 12.4 billion RMB, exceeding expectations [2] - Standard Chartered's stock price fell due to allegations from US lawmakers [3] - Huahong Semiconductor plans to acquire Huahong Microelectronics, with A-shares suspended from trading [3] Sector Highlights - The mobile device sector is anticipating the launch of Apple's iPhone 17 on September 9 [6] - The biopharmaceutical sector is benefiting from adjustments in commercial insurance for innovative drugs [6] - The humanoid robotics sector is seeing accelerated adoption due to new product launches at the World Robot Conference [6] International Market Insights - The US Federal Reserve maintained interest rates, indicating a cautious approach towards future rate cuts due to high inflation uncertainty [3] - The US retail sales in July increased by 0.5%, marking the tenth consecutive month of growth [8] - The consumer confidence index in the US unexpectedly declined in August, reflecting concerns over tariffs [8] Investment Trends - Significant inflow of capital from mainland investors into Hong Kong stocks, with net purchases reaching a historical high of 35.9 billion HKD [7] - The overall investment sentiment remains positive, driven by low valuations in Hong Kong stocks and the rise of technology companies [7]

Market Performance - Hang Seng Index (HSI) rose by 62 points or 0.25%, closing at 24,969 points[1] - Shanghai Composite Index increased by 18 points or 0.5%, closing at 3,665 points[1] - S&P 500 gained 72 points or 1.1%, closing at 6,445 points, reaching a new high[2] Economic Indicators - US inflation rate for July remained stable at 2.7%, boosting market expectations for a rate cut in September[2] - People's Bank of China conducted a 7-day reverse repo operation of 114.6 billion yuan at a steady rate of 1.4%[1] Corporate Earnings - China Unicom reported a net profit of 14.484 billion yuan, up 5% year-on-year[5] - China Evergrande received a letter from the stock exchange regarding its failure to meet resumption requirements, leading to delisting[4] - China Resources Land achieved total contract sales of approximately 13.3 billion yuan in July, a year-on-year decrease of 14.2%[3] Currency and Trade - Hong Kong dollar weakened, reaching 7.85 HKD per USD, prompting the Monetary Authority to buy 7.065 billion HKD[2] - US government recorded a budget deficit of 291 billion USD in July, an increase of 47 billion USD compared to last year[3]

Market Performance - Hang Seng Index rose by 47 points or 0.2%, closing at 24,906 points[1] - Shanghai Composite Index fell by 4 points or 0.1%, closing at 3,635 points[1] - Total market turnover in Hong Kong was 200.9 billion HKD[1] Economic Indicators - China's July inflation remained flat year-on-year, while the Producer Price Index dropped by 3.6% year-on-year[1] - The People's Bank of China conducted a 122 billion CNY reverse repurchase operation at a steady rate of 1.4%[1] U.S. Market Trends - Dow Jones Industrial Average decreased by 200 points or 0.5%, closing at 43,975 points[2] - S&P 500 Index fell by 16 points or 0.3%, closing at 6,373 points[2] - Nasdaq Composite dropped by 64 points or 0.3%, closing at 21,385 points[2] Corporate Earnings - Kang Shifu Holdings reported revenue of 40.092 billion CNY, a year-on-year decline of 2.7%, with net profit increasing by 20.5% to 2.271 billion CNY[3] - Yue Yuen Industrial reported revenue of 4.06 billion USD, a year-on-year increase of 1.1%, with net profit decreasing by 7.2% to 171 million USD[3] - Kingdee International reported revenue of 3.192 billion CNY, an increase of 11.2% year-on-year, with a narrowed loss of 977.4 million CNY[4]

Group 1: Stock Market Performance - Hang Seng Index dropped 222 points or 0.9% to close at 24,858 after four consecutive days of gains; China Enterprises Index fell 86 points or 1%, closing at 8,895; Hang Seng Tech Index declined 86 points or 1.6%, ending at 5,460. Total turnover of the market was HK$206.72 billion, and the net inflow of southbound capital was HK$6.271 billion [1] - Shanghai Composite Index fell 4 points or 0.1% to 3,635, with a turnover of RMB713.6 billion; Shenzhen Component Index dropped 29 points or 0.3% to 11,128, with a turnover of RMB996.7 billion; ChiNext Index declined 8 points or 0.4% to 2,333, with a turnover of RMB500.3 billion [1] - US stocks rose on Friday. The Nasdaq Composite Index rose 207 points or 1% to a record closing high of 21,450; the Dow Jones Industrial Average rose 206 points or 0.5% to 44,175; the S&P 500 Index rose 49 points or 0.8% to 6,389 [2] Group 2: Policy and Exchange Rate - The People's Bank of China conducted 7 - day reverse repurchase operations worth RMB122 billion at an unchanged rate of 1.4% on the 8th, with RMB126 billion of reverse repurchases maturing, resulting in a net回笼 of RMB4 billion. The central parity rate of the RMB against the US dollar was lowered by 37 points to 7.1382 [1] - On the 8th, the CFETS RMB exchange - rate index fell 0.90 week - on - week to 96.04; the BIS currency basket RMB exchange - rate index dropped 1.05 to 101.76; the SDR currency basket RMB exchange - rate index also declined 0.78 to 90.82 [2] Group 3: Company - Specific News - NVIDIA (NVDA.US) and AMD (AMD.US) agreed to pay 15% of their sales revenue from Chinese chips to the US government as a condition for obtaining export licenses to China. The US Commerce Department issued an export license for NVIDIA's H20 chips to China last week [2] - The WeChat public account "Yuyuantan Tian" under CCTV discussed the "backdoor" issue of NVIDIA's H20 AI chips. Professional人士 believe that functions like "tracking and positioning" and "remote shutdown" can be technically achieved [3] - In July 2025, the national consumer price index (CPI) was flat year - on - year. The average CPI for the first seven months of 2025 was 0.1% lower than the same period last year [3] - Greentown China (03900.HK) issued a profit warning, expecting its profit for the six months ended June to decline by about 90% compared to the same period in 2024, mainly due to uneven delivery rhythm and asset impairment losses [3] - HKT (00215.HK) reported its interim results for the six months ended June. Its turnover was HK$2.216 billion, up 7.7% year - on - year. It turned a profit of HK$6 million, compared to a loss of HK$12 million in the same period last year, and declared an interim dividend of 2.28 HK cents per share [4]

Company Recommendations - The report recommends buying shares of 高偉電子 (1415) at a current price of 29.86 HKD, with a short-term target price of 34.10 HKD, indicating a potential upside of 17.6% [7][9] - The company is expected to enter the rear camera module business in the second half of 2024, which is anticipated to drive revenue and profit growth in the first half of 2025, potentially leading to an earnings surprise [9] - The management's outlook on products in the smart driving and robotics sectors is also seen as a potential catalyst for growth [9] Valuation Insights - The current price corresponds to a forecasted P/E ratio of 17.6x for FY25E and 13.3x for FY26E, with FY26E valuation being 30% lower than the 5-year average [9] - The market expects a compound annual growth rate of 29.8% in revenue and 38.6% in net profit from FY24 to FY27E [9] Market Overview - The Hang Seng Index has shown resilience, recovering above the 10-day and 20-day moving averages, closing at 25,081 points with a trading volume of 245.7 billion HKD [5] - The report notes that the overall market sentiment remains positive, with active trading across different sectors despite limited improvement in corporate earnings [5][6] Macro Focus - China's exports in July increased by 7.2%, surpassing expectations, although exports to the U.S. fell by 21.7%, indicating potential challenges ahead [10] - The People's Bank of China is expected to continue implementing liquidity measures to maintain a stable financial environment, including a recent 700 billion RMB reverse repurchase operation [10] Industry Developments - The report highlights the upcoming World Robot Conference and the anticipated launch of Apple's iPhone 17, which may impact the mobile device sector [6] - Companies like 中芯 (0981) and 華虹 (1347) have reported mixed earnings, with 中芯's quarterly profit down by 19.5% and 華虹's profit growth falling short of expectations [11]

Trump說台積電要投資美國3,000億美元1. 台積電官方說的投資金額是1,650億美元，Trump先前說的金額是2,000億美元。Trump進一步將投資金額提高到3,000萬美元，像是為即將到來的半導體關稅暖身，符合Trump自己說過的「先提出一個極高的數字，再往下談」的做法。2. 近期市場傳言美台政府談判關稅時，Trump/美方要求台積電入股Intel 49%或追加投資4,000億美元。然而，我的理解是，美台灣關稅談判並沒有提到台積電。Trump單方面提到台積電要投資美國300億美元的發言，也算驗證了我的觀點 - 如果有需要，美國政府可以單方面發言或直接找台積電。3. 如果上述市場傳言為真，台積電總共要投資美國5,650億美元，遠高於Trump說的3,000億美元，代表市場傳言非事實。4. 美國政府部分人士先前的確將台積電入股，作為振興Intel的多種潛在方案之一，但隨著美國政府越來越理解Intel實際上面臨的挑戰，以及現任CEO陳立武上台後，目前這樣的聲音已經顯著減少了。來源：https://t.co/FF2GfGIe2V ...

Report Summary 1. Market Performance - Hong Kong stocks rose with the Hang Seng Index up 169 points or 0.7% to 24,902, the Hang Seng China Enterprises Index up 57 points or 0.65% to 8,951, and the Hang Seng Tech Index up 39 points or 0.7% to 5,521. The total turnover was HK$229.399 billion [1]. - A - shares advanced with the Shanghai Composite Index up 34 points or 1% to 3,617, the Shenzhen Component Index up 65 points or 0.6% to 11,106, and the ChiNext Index up 9 points or 0.4% to 2,343. The turnovers were RMB656.4 billion, RMB939.7 billion, and RMB475.6 billion respectively [2]. - US stocks fell with the Dow Jones Industrial Average down 61 points or 0.1% to 44,111, the S&P 500 Index down 30 points or 0.5% to 6,299, and the Nasdaq Composite down 137 points or 0.7% to 20,916 [2]. 2. Policy and Economic Data - The People's Bank of China conducted RMB160.7 billion of seven - day reverse repurchase operations on the 5th, with an operating rate unchanged at 1.4%. There were RMB449.2 billion of reverse repurchases maturing, resulting in a net withdrawal of RMB288.5 billion. The central parity rate of the RMB against the US dollar was raised by 29 points to 7.1366 [2]. - China's July S&P Global Services PMI rose to 52.6, while the Composite PMI fell to 50.8 [2]. - The US July ISM Services Index was worse than expected, increasing concerns about stagflation [2]. 3. Trade - related Statements - US President Trump said that the EU's commitment to invest $600 billion in the US in the US - EU trade agreement was one reason for him to lower the tariff on EU goods to 15%. If the condition was not met, the tariff on EU goods would be 35% [3]. - Trump also said that the US would announce tariffs on semiconductor and pharmaceutical imports in about a week. The initial tariff rate for pharmaceuticals would be low, rising to 150% within a year and a half and eventually to 250%. Semiconductor and chip tariff measures would be in another category [4]. 4. Company - specific News - Li Xiang, CEO of Li Auto - W (02015.HK) (LI.US), revealed that the small - order users of Li i8 exceeded 30,000 [4]. - Yum China (09987.HK) reported its six - month interim results as of June. The total revenue was $5.768 billion, up 2.3% year - on - year. The net profit was $507 million, up 1.6%, with an earnings per share of $1.36 and a dividend per share of 24 cents [4]. - Hon Hai Precision Industry, a major server assembly partner of Nvidia (NVDA.US), saw its July sales growth slow down. Its July sales increased 7.25% year - on - year to NT$613.8 billion (about $20.5 billion), the lowest increase since January [4]. - The interim results of The Link REIT (00778.HK) as of the end of June showed that the distributable income was HK$377 million, up 2.1% year - on - year. The interim distribution per fund unit was 18.41 cents, up 1% from the previous year. The annualized distribution yield per fund unit was 7.7% based on the closing price on June 30 [5].

Group 1 - Semiconductor sector shows strong performance, with Hua Hong Semiconductor (01347) stock price rising 7.12% to HKD 42.24, and trading volume exceeding HKD 1.846 billion, indicating continued capital inflow [1] - Technical indicators are positive, with RSI rising to 66, approaching overbought territory, and MACD along with Bollinger Bands signaling buy opportunities, confirming a medium-term upward trend [1] - Key resistance level has been broken at HKD 40.15 (MA10), with the next target set at HKD 43.1, while strong support is established at HKD 38.1 and stronger support at HKD 36.2 [1] Group 2 - Recent derivatives performance shows significant gains, with Morgan Stanley's bull certificate recording an 11% increase and UBS's bull certificate up by 12% during Hua Hong's 2.71% rise on July 31 [3] - The call option 15560 has the lowest implied volatility and an exercise price of HKD 42.5, suitable for bullish investors, while the UBS bull certificate 61278 has a 53.85% increase and a leverage of 5.26 times [6] - For bearish investors, Morgan Stanley's bear certificate 62489 offers a leverage of 5 times with a redemption price of HKD 48 [6]

Market Performance - The Hang Seng Index dropped 37 points or 0.1% to close at 25,524 points, the China Enterprises Index fell 31 points or 0.3% to end at 9,145 points, and the Hang Seng Tech Index declined 19 points or 0.3% to finish at 5,644 points. The total turnover of the market was HK$267.01 billion [1]. - The Shanghai Composite Index rose 11 points or 0.3% to close at 3,609 points, with a turnover of RMB793.6 billion; the Shenzhen Component Index increased 71 points or 0.6% to end at 11,289 points, with a turnover of nearly RMB1.01 trillion; the ChiNext Index climbed 44 points or 1.9% to finish at 2,406 points, with a turnover of RMB492.2 billion [1]. - The S&P 500 Index slightly closed lower by 18 points or 0.3% at 6,370 points, the Nasdaq Composite Index ended down 80 points or 0.4% at 21,098 points, and the Dow Jones Industrial Average closed 204 points or 0.5% lower at 44,632 points [2]. Macroeconomic News - The People's Bank of China conducted RMB449.2 billion of seven - day reverse repurchase operations on the 29th, with an operating rate unchanged at 1.4%. There were RMB214.8 billion of reverse repurchases due, resulting in a net injection of RMB234.4 billion. The central parity rate of the RMB against the US dollar was reported at 7.1511, down 44 points [1]. - The Monetary Authority of Singapore maintained its monetary policy unchanged, expecting economic growth to slow in the second half of the year, with the output level slightly below the economic potential, but core and overall inflation to remain between 0.5% - 1.5% [2]. - China and the US held a new round of economic and trade talks in Stockholm on the 29th. According to the consensus, both sides will continue to promote the extension of the suspended 24% US reciprocal tariffs and China's counter - measures [3]. - In the first half of this year, the total profit of national state - owned enterprises was RMB2.18 trillion, down 3.1% year - on - year; the total operating income was RMB40.75 trillion, down 0.2% year - on - year; and the tax payable was about RMB3 trillion, down 0.8% year - on - year [3]. - In June 2025, the import of passenger cars in the Chinese mainland was 41,000 units (including chassis), down 30.3% year - on - year and 9.1% month - on - month. In the first half of the year, the cumulative import of passenger cars was 221,000 units, down 32.1% year - on - year [3]. Company News - China Ruyi (00136.HK) issued a profit warning, expecting to turn losses into profits in the six - month period ended June 30, 2025, with an unaudited after - tax comprehensive net profit of about RMB1 - 1.2 billion, compared with a net loss of about RMB123 million in the same period last year. Revenue is expected to be between about RMB2.1 - 2.3 billion, up 14% - 25% from about RMB1.84 billion in 2024 [4]. - Huaneng Power International (00902.HK) announced its interim results for the six months ended June. Operating income was RMB112.032 billion, down 5.7% year - on - year. Net profit was RMB9.578 billion, up 23.2%, with earnings per share of 52 cents. No interim dividend was declared [4]. - Shanghai Fudan (01385.HK) issued a profit warning, expecting net profit for the six months ended June to be between RMB180 - 210 million, down 39.7% - 48.3% year - on - year; revenue to be between RMB1.82 - 1.85 billion, up 1.4% - 3.1% [4]. - Baosheng International (03813.HK) announced that it expects to record operating income of about RMB9.159 billion and profit attributable to the company's owners of about RMB188 million for the six months ended June 30, 2025, down about 8.3% and 44.1% respectively from the same period last year [4]. Trade - related News - US President Trump announced that India may face a 20% - 25% tariff if a trade agreement cannot be reached [2].