The Hang Seng Index rose 17 points in the afternoon as investors bought back leading technology stocks, with a sharp gain in Alibaba providing support. AI-related stocks, however, fell sharply, with Zhipu AI briefly dropping below HK$1,000.
Hong Kong stocks were volatile in the morning, with the Hang Seng Index falling temporarily amid the previous day's decline and heightened tensions in the Middle East, before rebounding in the afternoon as investors bought back leading technology stocks. The index closed at 25,471 points, up 17 points from the previous day, while the Hang Seng China Enterprises Index rose 0.16%. Trading value reached approximately HK$255.5 billion. Alibaba Group led the index higher, closing up 3.68%, with daily trading value of approximately HK$15.1 billion, the highest in the market. Xiaomi rose 1.16%, Tencent fell 0.9%, and JD.com and Kuaishou each fell approximately 1.7%.
AI-related stocks faced selling pressure throughout the session, with Zhipu AI temporarily falling below the HK$1,000 mark before closing at HK$1,043, down 13.3%. MINIMAX-W also fell 4.49%. Among semiconductor-related stocks, Hua Hong Semiconductor fell 7.86% near the close, while Kingboard Laminates and Kingboard Holdings each fell more than 8%, and Victory Giant Technology fell more than 5%. Lenovo Group fell 5.09%, the weakest performer among the constituent stocks.
Pharmaceutical, oil, shipping and pork stocks rose against the broader trend. WuXi Biologics gained 5.2%, GenScript Biotech rose 8.36%, BeiGene gained 3.18%, and Kelun-Biotech Biopharmaceutical rose 3.83%. PetroChina rose 2.51%, CNOOC gained 2.09%, and Sinopec rose 0.47% on higher crude prices. Among shipping stocks, Orient Overseas International extended its gains for a third consecutive session and renewed its year-to-date high.
Among individual stocks, Zhengrong Real Estate surged 125%, while Chow Sang Sang jumped 19.14%, with related stocks also seeing significant moves. Shanghai Chicmax Cosmetic, meanwhile, fell 22.77% after lowering its earnings forecast, while Iluvatar CoreX and Montage Technology each fell more than 6%. Market participants are watching changes in fund flows while assessing their impact on the Hang Seng TECH Index.