On May 2, Hong Kong stocks ushered in the first trading day of May, and the three major stock indexes broke out collectively!

By the close of noon, the Hang Seng Index had regained the 18000-point mark, and the Hang Seng Technology Index had risen more than 4 per cent in half a day.CasinorouletteonlinefreeIn terms of individual stocks, Shangtang-W rose nearly 30% in half a day, JD.com Health, Meituan and other collectives soared, and Ulai, zero-running cars and Xiaopeng cars rose strongly.

In the view of industry insiders, the obvious acceleration of southward capital inflows into the market is an important reason for the strength of Hong Kong stocks. in addition, a series of policies favorable landing also help Hong Kong stocks to rise rapidly in the short term. As the valuation gap between Hong Kong stocks and Japanese stocks widens further, some institutions expect global hedge funds to sell Japanese stocks and buy Hong Kong stocks.

The technology sector strongly led the rise.

On May 2, the three major indexes of Hong Kong stocks continued to rise after opening lower. By the close of midday, the Hang Seng Index was up 2%.Casinorouletteonlinefree.21%, at 18155CasinorouletteonlinefreeAt .28, the index regained the 18000-point mark, the Hang Seng China Enterprises Index rose 2.34% to 6420.83, and the Hang Seng Technology Index rose 4.06% to 3850.74.

Technology stocks became the strongest sector of Hong Kong stocks this morning. By the close of midday, Shangtang-W was up 27.87%, a new high in intraday trading. Shangtang-W shares have risen more than 150 per cent in the six trading days since April 24.

On the news side, a few days ago, at the 2024 Beijing International Auto Show, Shangtang's Shangtang Yuanyu demonstrated for the first time the road test performance of UniAD, an end-to-end self-driving solution for mass production, as well as the AI large model cockpit product matrix with multi-modal scene brain as the core, as well as a new cockpit 3D interactive demonstration.

Among other technology stocks, Kingdee International rose nearly 9%, Meituan-W rose 8.40%, JD.com Health rose nearly 8%, Ali Health, Ping an good doctor and other stocks rose collectively.

The market of inner housing stocks in Hong Kong stocks can also be noted. By midday, country Garden was up nearly 12 per cent, Vanke was up more than 10 per cent, Yuexiu Real Estate was up 8.51 per cent and Longhu Group was up nearly 8 per cent, according to Wind.

On the news, Beijing recently announced the relaxation of restrictions on the purchase of commercial housing outside the Fifth Ring Road, and many major cities in the mainland have also further relaxed their property market policies in the near future. In the view of Zheshang Securities, the signal significance of Beijing's policy relaxation is stronger, and we can expect the medium-and long-term real estate demand-side restriction policy to gradually open according to the development of the industry; from the perspective of investment, maintain the view of "low position + undervaluation + policy" to promote the valuation repair of the real estate sector during the year.

A big increase in delivery

The new power of car building is on the rise.

Benefiting from the bright new car delivery data in April, new car-building forces such as Lai, Xiaopeng and Zero also showed a strong rise in early trading today.

By the midday close, Lai-SW was up 21.4 per cent, zero-running cars were up nearly 15 per cent and Xiaopeng was up more than 7 per cent. Driven by this, the auto and auto parts plate also performed well today, up 4.22% by midday, while stocks such as Minshi Group, BOE Jingdian and BYD shares rose.

Data show that in April this year, Xilai delivered a total of 15600 vehicles, a year-on-year increase of 134.6%, and it also returned to the "second place" of the new power of car manufacturing, second only to ideal cars; zero-running cars were delivered in April, an increase of nearly 72% over the same period last year; and Xiaopeng delivered nearly 9400 vehicles in April, an increase of nearly 33% over the same period last year.

Analysts believe that the recent introduction of the "car trade-in subsidy implementation rules" is expected to make the market demand for purchase gradually released. Oriental Securities predicts that under the fierce price competition, the head new energy vehicle companies are expected to continue to expand their market share by virtue of their leading advantage in new energy technology and industrial chain. Vehicle and parts companies with strong competitiveness in new energy vehicles are worthy of attention.

Multi-factor resonance

Boost the strength of Hong Kong stocks

Judging from the overall performance of the Hong Kong stock market so far this year, the main stock indexes of the Hong Kong stock market have fluctuated and rebounded since late January, especially in the past half a month.

In the view of Huafu Securities, southward capital inflows into the Hong Kong stock market have accelerated significantly since the end of January this year, which is an important reason for the strength of the Hong Kong stock market during the period. Since the beginning of the year, the policy of optimizing the cross-border connectivity mechanism and promoting the coordinated development of the capital markets of the two places has been landing continuously, further catalysing the short-term rapid upward trend of the Hong Kong stock market.

From the perspective of valuation, some analysts believe that the gap between the valuation of the Hong Kong stock market and overseas markets such as Japanese stocks has widened since the beginning of this year after continuous adjustment in the previous two years, and it is also expected to attract international capital inflows.

According to reports, Goldman Sachs has said that global fund managers may begin to withdraw popular multi-day stock trading because of the growing valuation gap between Japanese and Hong Kong stocks. Goldman Sachs stock salespeople believe that many macro hedge funds have begun to sell Japanese stocks and cover their existing short positions in Hong Kong stocks, and some long-only funds may also turn to Hong Kong stocks because of the high valuations of Japanese and US stocks.

Huafu Securities said that Chinese assets, including A shares, have performed well recently.CasinorouletteonlinefreeThe continuous improvement of China's fundamentals is the core driving factor behind it. On the whole, China's economy is in the stage of mild recovery, and with the continuous repair of economic endogenous momentum, it is expected that the trend of recovery will continue in the future.

(the market pictures in the article are all from Wind)

Review: Xu Zhao

Editor: Zhang Nan Zhang Lijing