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Biden is likely to keep most of the restrictions on US’s investment in China concept stocks.
The market rebounded strongly on Thursday. Hang Seng index opened up 230 points, H share index up 80 points and technology index up 56 points. Financials led the rebound. HSBC rose...
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Biden is likely to keep most of the restrictions on US’s investment in China concept stocks.
Analyst : Lun Sheung Nim (CEO, GEO Securities Limited)
The market rebounded strongly on Thursday. Hang Seng index opened up 230 points, H share index up 80 points and technology index up 56 points. Financials led the rebound. HSBC rose 1.24% for 30-point gain. AIA rose 0.93% for 26-point gain. CCB rose 1.5% for 23-point gain. Tencent rose 0.66% f or 18-point gain. Xiaomi rose 1.2% for 12-point gain. Budweiser APAC reported first quarter profit compared with loss last year. Share price soared 7% to lead the blue chips. On the contrary, Meituan lost 0.56% for 8-point loss. A shares opened up 0.07%. Shanghai composite index rose 2 points. The US Government urged pharmaceutical companies to forgo intellectual property rights to Covid vaccine. Related shares fell sharply. Fosun Pharmaceutical lost 12%. Cansino lost 13%. The market continued to retreat after opening. Hang Seng index lost almost all of its opening gain. Technology and pharmaceutical shares led the fall. Meituan lost 2% for 28-point loss. Tencent lost 0.74% for 24-point loss. Sino Biopharm lost 7.2% for 16-point loss. Consumption stocks fell. Restaurant shares fell sharply. Haidilao lost 7.9% to become the top loser for 9-point loss. Shabu Shabu lost 4%. Jiumaojiu lost 6%. Macau gaming stocks lost ground. Galaxy lost 2.8%. Sands lost 4.3%. A shares closed the morning down 0.22%. Shanghai composite index closed down 8 points. Hang Seng index fell to a low of 28384, down 34 points, but closed up 48 points. H share index closed down 19 and technology down 14 points. Turnover was $93 billion.

The market rose further in the afternoon. Hang Seng index gained more than 200 points. AIA rose 2 for 56-point gain. Xiaomi reported that it was now the second top selling smart phone in EU, passing Apple. Share price soared 3.85% for 37-point gain. HSBC rose 1.55% for 37-point gain. Wuxi Biologics rose 2.32% for 19-point gain. On the other hand, Meituan lost 1.81% for 25-point loss. Tencent lost 0.5% for 13-point loss. Ping An lost 1.03% for 13-point loss. Sino Biopharm lost 5.35% for 12-point loss. EC Healthcare was upgraded by broker. Share price rose 7.6%. Perfect Shape rose 4.14%. Shipping stocks that rose sharply recently fell to profit taking. Cosco Holdings lost 2.56%. Cosco Development lost 3.73%. OOIL lost 2.3%. Coal miners rose. China Coal rose 5.9%. Yanzhou Coal rose 5%. China Shenhua rose 2.3%. Sportswear shares rose. Xtep rose 14%. Lining rose 6.5%. Anta Sports rose 4%. Metal stocks were mixed. Angang lost 1.85%. Maanshan Iron rose 3.54%. Chongqing Iron rose 8%. Jiangxi Copper lost 2.4% but Chalco rose 4.9%. Internet stocks were mixed. Xiaomi rose but Tencent, Alibaba and Meituan were weak. Baidu fell for five straight days. It lost 2.6% and set record low since listing. A shares closed down 0.16%. Shanghai composite index closed down 6 points. Hang Seng index closed up 219 points, H share index up 34 points, and technology index up 29 points. Turnover increased to $161 billion.

Overnight, overseas markets rose. DAX rose 26 points; CAC rose 17 points and FTSE rose 37 points. US markets rose. Dow Jones rose 318 points and set record high. S & P rose 38 points and Nasdaq rose 50 points. Hong Kong ADR’s rose 21 points. Night future lost 112 points. We expect the market to fall today.
 
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