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The US Government took over SVB and guaranteed all deposits and prevented a financial crisis.
The US Government took over the Silicon Valley Bank and fully guaranteed all its deposits in an effort to prevent a financial crisis and restore confidence in the banking system. D...
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The US Government took over SVB and guaranteed all deposits and prevented a financial crisis.
Analyst : Lun Sheung Nim (CEO, GEO Securities Limited)
The US Government took over the Silicon Valley Bank and fully guaranteed all its deposits in an effort to prevent a financial crisis and restore confidence in the banking system. Dow Jones future rose 300 points. Hong Kong market opened up slightly. Hang Seng index opened up 92 points, H share index up 44 points and technology index up 50 point6s. AIA rose 2.64% for 42-point gain. Tencent rose 2.65% for 40-point gain. Alibaba rose 1.54% for 23-point gain. Meituan rose 1.3% for 13-point gain. On the other hand, HSBC lost 1.68% for 30-point loss. Netease rose 2.9% to lead the blue chips. Shanghai composite index opened down 2 points. The market rose further after opening. Hang Seng index gained more than 400 points. Tencent, AIA, CNOOC, Alibaba, Meituan, and China Mobile rose to lift the market. Tencent rose 5.6% for 86-point gain. AIA rose 3.2% for 50-point gain. Alibaba rose 4.25% for 64-point gain. Yet, HSBC fell for 21-point loss. Auto stocks remained weak. BYD lost 1.44%. Geely lost 2.85%. However, Li Auto rose 4.1%. XPeng rose 2.9%. Zai Lab, which has the largest amount of deposit at SVB lost 2.1%. Jacobio lost 2.2%. Sirnaomics lost 2.3%. Beigene lost 1.35%. Retail stocks rose. CR Beer rose 4.8% to lead the blue chips. Haier rose 3.4%. Budweiser rose 2.6%. Chow Tai Fook rose 2.6%. Shanghai composite index closed the morning up 18 points. Hang Seng index reached a high of 19791, up 471 points and closed the morning up 436 points, H share index up 186 points and technology index up 166 points. Turnover was $81.3 billion.

The market’s gain narrowed in the afternoon, as Hang Seng index gained more than 300 points, down 100 points from morning’s close. Tencent rose 4.9% for 74-point gain. AIA rose 3.62% for 56-point gain. Alibaba rose 3.2% for 41-point gain. China Mobile rose 4.76% for 30-point gain. Meituan rose 1.6% for 16-point gain. CNOOC rose 5.8% to lead the gainers for 17-point gain. On the contrary, OOIL lost 6.4% to top the losers. Wuxi Biologics lost 4.3% for 15-point loss. Mainland developers fell. Country Garden lost 3.65%. CG Services lost 2.24%. Longfor lost 1.6%. Pharmaceutical shares fell. Wuxi Biologics lost 4.3%. 3D Medicine lost 12%. Immunotech lost 11%. Sinomab Bio lost 8.2%. Aidigong lost 5.4%. Pharmaron lost 4.9%. Oils rose. CNOOC rose 6.1%. Petrochina rose 3.5%. Sinopec rose 5.7%. Coal miners rose. China Shenhua rose 3.73%. China Coal rose 2.3%. YK Australia rose 5.23%. Telecoms rose. China Mobile rose 4.9%. China Unicom rose 5.1%. China Telecom rose 7%. ZTE rose 6.74%. Shanghai composite index closed up 38 points. Hang Seng index closed up 376 points, H share index up 144 points and technology index up 109 points. Turnover was $145.2 billion.

Overnight, the collapse of Silicon Valley Bank caused European markets to fall about 3%. DAX lost 468 points. CAC lost 209 points and FTSE lost 200 points. US markets were mixed. Dow Jones lost 90 points and S & P lost 6 points. However, Nasdaq rose 50 points. Hong Kong ADR’s lost 168 points. Night future lost 56 points. We expect the market to fall today.  
 
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