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The market was range bound.
The market opened slightly lower on Wednesday. Hang Seng index opened down 24 points, H share index up 1 point and technology index up 10 points. Xiaomi rose 1.03% for 8-point gain...
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The market was range bound.
Analyst : Lun Sheung Nim (CEO, GEO Securities Limited)
The market opened slightly lower on Wednesday. Hang Seng index opened down 24 points, H share index up 1 point and technology index up 10 points. Xiaomi rose 1.03% for 8-point gain. Meituan rose 0.5% for 7-point gain. SMIC rose 3.85% for 7-point gain to become the top gainer. On the contrary, Alibaba lost 1.3% for 19-point loss. Tencent lost 0.54% for 8-point loss. HSBC lost 0.4% for 6-point loss. Shanghai composite index opened down 2 points. The market fell further after opening as Hang Seng index lost more than 100 points. Alibaba lost 1.9% for 28-point loss. AIA lost 1.1% for 12-point loss. Tencent lost 0.64% for 10-point loss. JD lost 2.4% for 9-point loss. Bili Bili lost 4.5% and Kuaishou lost 2.88% to become the top two losers in the technology index. Institutional investors sold down the shares. However, Trip rose 2.6% to lead the blue chips. Resources stocks rose. China Shenhua rose 2.45%. CNOOC rose 2.3%. Petrochina rose 1.6%. Ubtech lost 2.4% as it faced litigation. The market turned from loss to gain in midmorning. Meituan rose 1.87% for 30-point gain. CNOOC rose 3.1% for 14-point gain. CCB rose 1.1% for 12-point gain. Petrochina rose 4.1% for 8-point gain. GAC fell 7.3% as investors bailed out. China Graphite soared 40% as China stopped export of graphite to the US in retaliation for US’s unilateral ban of semiconductor exports to China. Shanghai composite index closed the morning down 2 points. Hang Seng index closed the morning up 16 points, H share index up 26 points and technology index up 7 points. Turnover was $63 billion.

The market was little changed in the afternoon, as Hang Seng index rose slightly. Oil stocks led the rally. CNOOC rose 3% for 13-point gain. CCB rose 1% for 11-point gain. Petrochina rose 4.1% for 8-point gain to become the top gainer. China Shenhua rose 4% for 7-point gain. Sinopec rose 2.8%. On the other hand, AIA lost 0.95% for 10-point loss. Alibaba lost 0.65% for 9-point loss. Tencent lost 0.65% for 9-point loss. Resources stocks rose. Other hand oils, China Hongqiao rose 2.9%. Zijin rose 1.6%. China Shenhua rose 4.3% to become the top gainer. China Coal rose 3.7%. Yankuang rose 2.7%. Local properties fell. Wharf lost 2.1%. Hang Lung lost 2.1%. New World lost 1.96%. Henderson Land lost 1.2%. The market turned from gain to loss in late trading. AIA lost 1.2% for 13-point loss. Alibaba lost 0.77% for 11-point loss. Tencent lost 0.54% for 8-point loss. Shanghai composite index closed down 14 points. Hang Seng index closed down 4 points, H share index up 12 points and technology index down 14 points. Turnover was $131.2 billion.

Overnight, European markets were mixed. DAX rose 215 points and CAC rose 48 points but FTSE lost 23 points. US markets soared on the strength of technology stocks. Dow Jones rose 308 points. S &P rose 36 points and Nasdaq rose 254 points. All three indices set record highs. Hong Kong ADR’s lost 199 points. Night future lost 164 points. We expect the market to fall today. 
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