Hong Kong Stock Midday Review: Morning Rally! Tech Index Surges 2.24%, Technology Stocks Recover, Gold and Other Precious Metals Stocks Decline

Hong Kong stocks’ three major indices continued to rise near midday, with the Hang Seng Tech Index leading the way. It closed up 2.24% at midday, returning above 5,000 points. The Hang Seng Index and the China Enterprises Index rose 1.14% and 1.28%, respectively. Large tech stocks, seen as market barometers, collectively rebounded, with Xiaomi surging 5%, and Meituan, Tencent, and JD.com all gaining strength. Semiconductors also experienced a price increase, with storage and semiconductor concept stocks rising noticeably. Auto stocks, lithium battery stocks, catering stocks, biopharmaceutical stocks, and domestic property stocks generally increased. Additionally, JPMorgan pointed out that gold prices are under short-term pressure and that central bank gold purchases are slowing, leading to a decline in gold and non-ferrous metal stocks, with Chifeng Gold dropping nearly 7%. Coal, electricity, and oil energy sectors also declined.

On the news front, Wall Street’s “big short” Michael Burry publicly stated on social media that the Hang Seng Tech Index is significantly undervalued. According to Hong Kong media reports, some financial industry insiders indicated that recently, Middle Eastern clients have inquired about investing in the Hong Kong stock market and establishing family offices in Hong Kong.

Another person familiar with the capital market said that Middle Eastern investors who migrated to Singapore or Dubai years ago are now considering reallocating some of their businesses or assets to Hong Kong.