China substantially reduced import tariffs on U.S. merchandise, coupled with news that universities have found new pneumonia drugs to ease market tensions
Hong Kong stocks undertook US stocks to rise overnight. After the HSI gap opened higher by 387 points, the more it rose, The increase once expanded to a maximum of 821 points, reaching 27,608 points, and less than 85 points from the bull-bear line (27,693 points). Finally, it rose 706 points throughout the day to close at 27,493 points, an increase of 2.64%. After 4 consecutive days of upsurge, Hong Kong stocks have accumulated an increase of 1,181 points. The market turnover yesterday was 1131.7 billion yuan, and it was also a transaction of more than 130 billion yuan for 4 consecutive days.
Blue chip stocks rose across the board, with the largest increase being China Mobile (0941), which closed at 67.15 yuan, rose 5.42% throughout the day, contributing 64 points to the HSI.
The other heavyweights also performed well. Tencent (0700) rose 1.99% or 7.8 yuan to close at the 400 yuan mark. AIA (1299) closed at 81.05 yuan, up 2.21%. China Construction Bank (0939) closed at RMB 6.31, up 2.60%. HSBC Holdings (0005), which is about to announce a new round of layoffs, closed at RMB 57.9, up 1.94%; Ping An Insurance (2318) closed at RMB 92, up 2.28%. Even the long-slumped oil stocks did well. CNOOC (0883) rose 5% to close at 12.6 yuan, reflecting that multiple sectors have funds to pursue.
Vinda clarifies that work will resume next week
Recently, it was reported that the mainland tissue factory could not resume work, which triggered the people in Hong Kong to buy tissues. Tissue maker Vinda (3331) rose 7% to 21.6 yuan yesterday, setting a new high. After that, the company clarified that the factory would resume work this week or next week, and did not stop the plant. It finally closed at 20 yuan, and there was no rise or fall; another Hengan International (1044), which produces paper towels, closed at RMB 62.25, up 3.58%.
Pharmaceutical stocks continue to be sought after. Gree Pharmaceuticals (1672) and Tongji Hospital affiliated to Tongji Medical College of Huazhong University of Science and Technology have launched scientific research cooperation to start clinical research on new coronavirus drugs, closing at 4.4 yuan, up 8.91%; China Traditional Chinese Medicine (0570) closing at 4.19 Yuan, an increase of 7.71%; WuXi AppTec (2359) hit a new record high, closing at 109.6 Yuan, a surge of 7.45%.
Damo singing well
Morgan Stanley released a report that the outbreak continues to make investment sentiment more volatile, but in the short term, Heng An International, Nissin Foods (1475), Tingyi (0322) and Techtronic Industries (0669) are still optimistic, mainly due to the strong underlying factors . Nissin Foods closed at RMB 7.01, up 3.09%; Master Kong closed at RMB 14.48, up 2.99%; Chuangke Industrial closed at RMB 67.45, up 4.33%.
Shen Zhenying, Chief Executive Officer of Xunhui Securities, said that the panic selling in the market earlier caused most shares to be oversold. When there is good news on the epidemic, the stock price will rebound sharply. He expects that the outbreak will only have a short-term blow to Hong Kong stocks. It is estimated that most of the impact will have disappeared in March and April.