Institutions: The AH premium rate is expected to further converge, and more Hong Kong stocks may have premiums over A-shares in the future.
GF SEC believes that there is still room for the mid-term contraction of the AH premium rate, driven by the increased trading activity of Hong Kong stocks, improved quality of listed companies, and the scarce attractiveness of new IPO companies in Hong Kong. However, in the short term, market sentiment is weakening, the Range of fluctuations is narrowing, and changes in premium rates may be more reflected in the differentiation of Sectors and individual stocks.
Since January, the Hang Seng Biotechnology Index has risen over 60%, surpassing the "DeepSeek moment" of Chinese innovative drugs compared to AI.
Chinese innovative pharmaceutical companies have ignited investment enthusiasm with a series of hundred million dollar licensing Trades, successful IPOs, and a strong R&D pipeline, ushering in their own "DeepSeek moment."
Express News | The Hang Seng Index closed up 0.7%, and the Hang Seng TECH Index rose 1.15%.
Market Overview | All three major indices rose, the technology index increased by 1.15%, Network Technology stocks generally rose, Xiaomi Group increased by over 4%; gold stocks generally fell, LINGBAO GOLD dropped by over 12%.
Network Technology stocks all rose, with XIAOMI-W up 4.23% and KUAISHOU-W up 3.45%; Hong Kong retail stocks increased, with CHOW TAI FOOK up 6.03% and CHOW SANG SANG up 4.53%; gold stocks weakened, with LINGBAO GOLD down 12.06% and CHI SILVER GP up 7.37%;
Bonnie Chan Yi-ting from the Hong Kong Stock Exchange: The H+A listing will not dilute the investor base, and a white paper on the 'T+1' settlement cycle is planned to be released within the year.
Recently, the latest document from the central government proposed allowing Greater Bay Area enterprises listed in Hong Kong to be listed on the Shenzhen Stock Exchange. Bonnie Chan Yi-ting, the CEO of HKEX, stated during an interview that whether it is "A first then H" or "H first then A," both can allow companies to reach more investors without diluting the investor base. It is believed that this can increase the circulation of shares and enhance valuation, leading to a positive cycle.
Hong Kong stock midday review | The three major Indices are mixed, with the tech index up 0.15%; domestic property and retail stocks rose, RADIANCE HLDGS surged nearly 68%, and CHOW TAI FOOK rose over 6%.
Network Technology stocks showed mixed results, with SENSETIME-W up 4.26% and XIAOMI-W up 3.85%; gold stocks generally fell, with TONGGUAN GOLD up 5.24% and LINGBAO GOLD down 4.76%; property service and management stocks rose across the board, with EVERG SERVICES up 3.85% and CHINA RES MIXC up 3.03%.
