HK Stock Close: Hang Seng Index up 0.61%, semiconductors active throughout the day, Alibaba surged over 4% at one point

Why can the surge of AI and Alibaba drive a collective rebound in tech stocks?

Hong Kong stocks’ three major indices opened higher and then pulled back in the early session, but quickly rallied after the afternoon opening, especially with Alibaba’s sharp rise leading the tech sector to recover and help the market turn positive. By the close, the Hang Seng Index rose 0.61%, returning above 26,000 points. The China Enterprises Index and Hang Seng Tech Index increased by 0.1% and 0.01%, respectively.

In terms of specific stocks, major tech stocks generally rose, with Alibaba Cloud surging up to 34%, Alibaba itself soaring over 4% at one point, and Baidu, JD.com, Meituan, and Tencent all following suit. Overnight, U.S. storage stocks hit new highs amid ongoing supply chain crises, with storage semiconductor stocks remaining strong throughout the day. GigaDevice and Fudan Shanghai both gained over 11%. Power equipment stocks, which had been adjusting for several days, rose significantly in the afternoon, led by Northeast Electric, which surged 12%, and Dongfang Electric, up 10.5%. AI large model concept stocks MINIMAX-W and Zhipu reached new highs on the market. SaaS and application software stocks were active, with Kingdee International and Youzan among the top gainers.

On the other hand, property, auto, and photovoltaic stocks declined sharply. Affected by Middle East conflicts, airline stocks continued to fall, with Air China hitting new lows for the period. In the afternoon, international oil prices fell further, and oil stocks continued to weaken. (Gelonghui)