Today, the three major indices of Hong Kong stocks continued to adjust. As of the close, the Hang Seng Index fell 0.35% to close at 17113.36 points; The technology index fell 0.99% to close at 3395.70 points; The state-owned enterprise index fell 0.40% to close at 6025.16 points.
Note: Performance of Hang Seng Index
Today's market
From the performance of individual stocks, some stocks such as pork and consumer electronics rose slightly, while most of the pharmaceutical and Internet stocks weakened.
Institutions predict strong support for pig price increase, with Wanzhou International rising by over 8%
Among pork stocks, Wanzhou International (00288. HK), Wison International (01340. HK), and Yurun Food (01068. HK) rose 8.38%, 6.90%, and 2.22% respectively.
Note: Performance of pork stocks
In terms of news, institutions pointed out that the supply of live pigs continues to be tight, and there is strong support for the rise in pig prices. During the off-season of high temperature and fat pig consumption in July and August, there is still a high premium for fat pigs, reflecting a tight supply of live pigs in the market. It is expected that in the future, driven by the gradual decrease in gas temperature and the premium of fat pigs, the average weight of live pigs sold may gradually increase.
Furthermore, Wanzhou International announced its first half performance, with revenue decreasing by 6.3% to 12.293 billion US dollars. Operating profit increased significantly by 78.4% to $1.14 billion, mainly due to the pork business turning losses into profits.
Partial consumer electronics stocks continue to rise, with Foxconn Group up over 6%
In consumer electronics stocks, Foxconn Group (02038. HK), Weishi Jiajie (00856. HK), and Ruisheng Technology (02018. HK) rose 6.58%, 0.47%, and 0.37% respectively.
Note: Performance of consumer electronics stocks
In terms of news, according to recent media reports, with the countdown to the release of iPhone 16 series products, the recruitment demand for Foxconn factories in Zhengzhou has reached a peak. According to recruitment agencies, with the rapid growth of labor demand, the maximum hourly wage for workers has increased to 25 yuan, and the bonus for working in the manufacturing workshop for three months is 7500 yuan. The agent also said, "There have been at least 50000 new employees entering the factory in the past two weeks, and we are still recruiting on a large scale. If there is still a shortage of manpower in subsequent production, it is not a problem to increase the bonus to 8000 yuan
According to a research report by Dongwu Securities, as August enters the peak season for stocking new iPhone components, production and delivery are expected to accelerate, and the market remains highly concerned about the launch of the iPhone 16 series in September.
Most pharmaceutical stocks weaken, while Taige Pharmaceuticals fell more than 7%
In the pharmaceutical stock market, Taige Pharmaceutical (03347. HK), Yiming Angke-B (01541. HK), and WuXi AppTec (02268. HK) fell 7.07%, 7.04%, and 6.66% respectively.
Note: Performance of pharmaceutical stocks
In terms of news, Southwest Securities pointed out that from a macro perspective, based on current economic data, the Federal Reserve's expectation of interest rate cuts within the year is expected to strengthen, the primary investment and financing environment for biopharmaceuticals may improve, market liquidity expectations are expected to recover, and the innovative pharmaceutical industry chain will have valuation repair opportunities; The commercial orders of the head CXO COVID-19 have been fully digested, and the geo game is yet to be implemented; The valuation of the sector has fallen back to the historical bottom, and the valuation of individual stocks still shows differentiation.
Most Internet stocks weakened. Oriental Selection fell more than 8%
Among Internet stocks, Orient Select (01797. HK), Tencent Holdings (00700. HK) and Meituan-W (03690. HK) fell 8.44%, 1.27% and 1.26% respectively.
Note: Performance of Internet stocks
From the above chart, Dongfang Zhenxuan has the highest decline. On the news side, on August 9, in response to Jiang Xiaobai's statement that "the speech of the Oriental selection anchor Tian Quan in the Oriental selection live broadcast room seriously deviated from the facts", the company said on the official microblog that the anchor's understanding of Baijiu categories was really not professional and comprehensive, and would strengthen relevant training in the future. Jiang Xiaobai responded that he does not accept such informal forms and insincere apologies.
Southbound funds
Today, there was a slight outflow of southbound funds, with an amount of HKD 1.041 billion. Since the beginning of this year, the cumulative net purchases have been approximately HKD 414.1 billion.
Note: The performance of southbound funds since the beginning of this year
Stock News and Changes
Tencent Music drops over 18%, institutions lower their target price to HKD 55.1
Tencent Music (01698. HK) fell 18.13% to close at HKD 43.8. On the news front, the company announced its second quarter performance, with revenue of 7.16 billion yuan, a year-on-year decrease of 1.73%; Net profit was 1.682 billion yuan, an increase of 29.58% year-on-year.
Goldman Sachs released a report stating that Tencent Music's second quarter performance met expectations, but the outlook for the second half of the year to 2025 is inconsistent. The management has lowered the quarterly net new user guidance from the original 3 million to a level of 1.5 million to 2 million, and hopes to increase the average monthly income of single fee users through higher priced super membership services to maintain revenue targets.
China National Heavy Duty Truck Group Falls Over 3%, Price War Waves and Heavy Truck Market
China National Heavy Duty Truck Group (03808. HK) fell 3.13% to close at HKD 19.52. In terms of news, the "price war" in the domestic heavy-duty truck market is intensifying. According to FAW Jiefang dealers, they have recently lowered the prices of multiple tractor models in their stores, with a general decrease of around 50000 yuan.