Daily Investment Strategy
Hang Seng Index rose 615 points on Thursday
The Hang Seng Index rose 615 points, or 2.98%, on Thursday to 21,252 points. The China Enterprises Index increased by 255 points, or 3.5%, to 7,620 points. The Hang Seng Tech Index rose 95 points, or 2.0%, to 4,736 points. The total turnover of the market for the day was HK$325.3 billion.
The Consumer Confidence Index fell
U.S. stocks closed higher on Friday, with the Dow Jones Industrial Average up 409.74 points, or 0.97%, to 42,863.86 points. The Nasdaq Composite Index rose 60.89 points, or 0.33%, to 18,342.94 points. The S&P 500 Index increased by 34.98 points, or 0.61%, to 15.03 points. Last week, the Dow Jones Index rose 1.21%, the S&P 500 Index rose 1.11%, and the Nasdaq Index rose 1.13%.
Regarding individual stocks, Tesla held a press conference about robotaxis, but investors were not satisfied, causing the stock price to plummet by 8.8%. In terms of economic data, the U.S. Department of Labor reported on Friday that the Producer Price Index (PPI) for September showed a 0% monthly increase, compared to an expected 0.1% and a previous 0.20%. The year-on-year PPI for September increased by 1.8%, compared to an expected 1.6%, and the previous value was revised from 1.70% to 1.9%.
Additionally, the University of Michigan's Consumer Sentiment Index for October fell to 68.9, marking the first decline in three months and below the revised value of 70.1 for September. However, Joanne Hsu, the director of the University of Michigan's Consumer Sentiment Survey, stated that consumer optimism remains resilient.
Amount of fiscal policy was not disclosed
During the press conference on Saturday, the Minister of Finance did not disclose the exact amount of the fiscal policy but mentioned there is still significant room for borrowing and deficit expansion. Specific fund allocation details will be made public after legal procedures, indicating that further policies will be gradually announced.
Wen Kit Kenny is a SFC licensed person accredited to KGI Group to carry on regulated activities (for details, please refer to:https://apps.sfc.hk/publicregWeb/indi/AJF244/details). He and/or his associate do not have any financial interest in the recommended issuer or new listing applicant.
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