Market Insight

Market Roundup

Hong Kong stocks fluctuated today. The HSI opened 22 points lower, and the decline widened to 163 points and hit as low as 19,814 points, and once rebounded 9 points. The HSI finally fell 110 points or 0.6% in mid-day to 19,867 points; HSCEI fell 25 points or 0.4% to 6,763; The HSTECH fell 4 points or 0.11%, to 3,954. The market's half-day turnover totaled HK$42.4bn. Baidu (9888)'s 1Q23 earnings beat consensus, and its stock price rose 1.5% to HK$126.2. Other technology stocks generally rose, Tencent (0700) and Alibaba (9988) rose 0.8% and 1.4% respectively. Another cloud computing company announced a big product price reduction. The market worried that the price reduction war will greatly damage the gross profit margin. Cloud computing related stocks were under heavy selling. Kingsoft Cloud (3896) and China Telecom (0728) fell 5.1% and 3.3% respectively.

Source: KGI Asia Investment Strategy

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