CATL’s “Super Technology Day” Electrifies
5 Min. Read Time
Key News
Asian equities were largely higher overnight, led by Korea and Taiwan, though on light volumes, as Middle East uncertainty lingers.
Hong Kong and Mainland China both grinded higher. The latter opened in the red, but managed a small gain. Meanwhile, there was a value bias in both markets.
Premier Li and the State Council emphasized green energy as a means of energy security in a statement. They jointly released a document called "Coordinating Energy Security and Green Low-Carbon Transition, Accelerating the Building of a New Energy System". The world's largest battery maker Contemporary Amperex (CATL) gained +4.77%. It appeared to be the primary beneficiary of the report’s release, along with coal stocks. Also, after the close, during their "Super Technology Day", CATL representatives said that they had solved issues preventing the mass production of sodium-ion batteries.
Nvidia circuit board supplier Victory Giant Technology’s IPO gained +50.09% and was Hong Kong’s most heavily traded stock by value after raising $2.6 billion. Tianqi Lithium gained +0.77% in Hong Kong and 5.82% in Mainland China, after announcing Q1 profits should increase by a mere +1,530%. Alibaba's Hong Kong-listed shares fell -0.51% despite subsidiaries including AI chip maker Xizhi Technology, AI-powered end-to-end patient management platform Weimai, and AI video startup Pix Verse all reported to be exploring IPOs . Except for Alibaba and Tencent, which fell -0.67%, internet names were higher, led by Meituan, which gained +1.53% on optimism surrounding the end of the delivery war.
The US -listed PDD Holdings is being fined RMB 1.52 billion by the State Administration of Market Regulation (SAMR) for its role in the instant commerce price war. Meanwhile, video platform and AI video generator Kuiashou fell -1.28% despite two large call option trades.
Mainland investors bought a net $477 million worth of Hong Kong-listed stocks and ETFs today via Southbound Stock Connect, which brings the year-to-date (YTD) total to $30.96 billion.
Policy support for telecommunications lifted both Hong Kong and Mainland-listed companies in the space overnight. However, Mainland technology hardware underperformed after a few financial results came in light, which weighed on semiconductor names as well.
Mainland media noted the rise and decline of silicone and polysilicon supplier Hoshine Silicon Industry (603260 CH), which gained +0.09% overnight. The company reported that 2025 revenues fell -23% year-over-year (YoY) from RMB 26.69 billion to RMB 20.50 billion. Meanwhile, net income fell -302% YoY to a loss of RMB -3.11 billion from a profit of RMB 1.54 billion in the first quarter of 2025. The culprit was a RMB 60 billion investment in 2022 and 2023 that vastly increased solar panel and polysilicon production just as demand rolled over and prices slumped. The company reported it would “moderately” reduce solar production. Since the stock has lost 81% since its 2021 high, a new strategy might be in order!
The State Council also released a document called “Opinions on Promoting Capacity Expansion and Quality Improvement of the Service Sector”. Meanwhile, the National Committee of the Chinese People's Political Consultative Conference (CPPCC) met to discuss China’s economy and implementing the 15th Five Year Plan.
It is interesting that Mainland media also reported that China's government lowered the price of gasoline!
Last Night's Performance
| Country / Index | Ticker | 1-Day Change |
|---|---|---|
| China (Hong Kong) | HSI Index | 0.5% |
| Hang Seng Tech | HSTECH Index | -0.1% |
| Hong Kong Turnover | HKTurn Index | -15% |
| Hong Kong Short Sale Turnover | HKSST Index | -24.5% |
| Short Turnover as a % of Hong Kong Turnover | N/A | 14.7% |
| Southbound Stock Connect Net Buy/Sell (US $ Millions) | N/A | 477.39 |
| China (Shanghai) | SHCOMP Index | 0.1% |
| China (Shenzhen) | SZCOMP Index | 0% |
| China (STAR Board) | Star50 Index | -1.6% |
| Mainland Turnover | .chturn Index | -7.1% |
| Japan | NKY Index | 0.9% |
| India | SENSEX Index | 1% |
| Indonesia | JCI Index | -0.5% |
| Malaysia | FBMKLCI Index | 0.8% |
| Pakistan | KSE100 Index | 0.5% |
| Philippines | PCOMP Index | 0% |
| South Korea | KOSPI Index | 2.7% |
| Taiwan | TWSE Index | 1.7% |
| Thailand | SET Index | 0.1% |
| Singapore | STI Index | 0.2% |
| Australia | AS51 Index | 0% |
| Vietnam | VNINDEX Index | -0.2% |
| Indicator | Hong Kong | Mainland China |
|---|---|---|
| Today's Volume % of 1-Year Average | 77 | 119 |
| Advancing Stocks | 297 | 1732 |
| Declining Stocks | 208 | 2397 |
| Outperforming Factors | Dividend Yield, Low Volatility, Value | Low Volatility, Momentum, EPS Revision |
| Underperforming Factors | Liquidity, Growth | Growth, Liquidity, Buyback |
| Top Sectors | Energy, Industrials, Utilities | Utilities, Energy, Industrials |
| Bottom Sectors | Healthcare, Communication, Tech | Tech, Healthcare, Discretionary |
| Top Subsectors | Tech Hardware, Electrical Equipment, Household/Personal Products | Telecom, Coal, Petrochemical |
| Bottom Subsectors | Pharmaceuticals, National Defense, Software | Internet, Computer Hardware, Software |
| Southbound Connect Buys | China Mobile (Large), CIG, CNOOC (Small) | N/A |
| Southbound Connect Sells | Alibaba (Moderate), YOFC (Small) | N/A |
| MSCI China All Shares Index | # of Stocks | Average 1-Day Change (%) |
|---|---|---|
| Hong Kong Listed | 164 | 0.12 |
| Communication Services | 11 | -0.52 |
| Consumer Discretionary | 28 | 0 |
| Consumer Staples | 12 | 0.31 |
| Energy | 6 | 1.91 |
| Financials | 25 | 0.62 |
| Health Care | 16 | -0.94 |
| Industrials | 19 | 1.89 |
| Information Technology | 15 | -0.17 |
| Materials | 14 | 0.21 |
| Real Estate | 1 | 1.07 |
| Utilities | 6 | 1.47 |
| Mainland China Listed | 11 | 0.09 |
| Communication Services | 11 | -0.17 |
| Consumer Discretionary | 26 | -0.52 |
| Consumer Staples | 18 | 0.05 |
| Energy | 11 | 1.34 |
| Financials | 64 | -0.1 |
| Health Care | 29 | -0.63 |
| Industrials | 60 | 1.02 |
| Information Technology | 113 | -0.69 |
| Materials | 58 | 0.7 |
| US & Hong Kong Dually Listed | Ticker | 1-Day Change (%) |
|---|---|---|
| Tencent HK | 700 HK Equity | -0.7 |
| Alibaba HK | 9988 HK Equity | -0.5 |
| JD.com HK | 9618 HK Equity | 0.5 |
| NetEase HK | 9999 HK Equity | -0.5 |
| Yum China HK | 9987 HK Equity | 1.6 |
| Baozun HK | 9991 HK Equity | 1.4 |
| Baidu HK | 9888 HK Equity | 1.5 |
| Autohome HK | 2518 HK Equity | 0.7 |
| Bilibili HK | 9626 HK Equity | -3 |
| Trip.com HK | 9961 HK Equity | 0.9 |
| EDU HK | 9901 HK Equity | -1.7 |
| Xpeng HK | 9868 HK Equity | -1.6 |
| Weibo HK | 9898 HK Equity | 0.1 |
| Li Auto HK | 2015 HK Equity | -0.1 |
| Nio Auto HK | 9866 HK Equity | -1.1 |
| Zhihu HK | 2390 HK Equity | -2 |
| KE HK | 2423 HK Equity | 0.9 |
| Tencent Music Entertainment HK | 1698 HK Equity | 0.4 |
| Meituan HK | 3690 HK Equity | 1.5 |
| Hong Kong's Most Heavily Traded by Value | 1-Day Change (%) |
|---|---|
| VICTORY GIANT TECHNOLOGY H-H | 50.1 |
| TENCENT HOLDINGS LTD | -0.7 |
| ALIBABA GROUP HOLDING LTD | -0.5 |
| MANYCORE TECH INC | 3.6 |
| YANGTZE OPTICAL FIBRE AND-H | 0 |
| CHINA MOBILE LTD-H | 2.3 |
| XIAOMI CORP-CLASS B | 0.2 |
| POP MART INTERNATIONAL GROUP | 2.2 |
| HONG KONG EXCHANGES & CLEAR | 1.4 |
| CHINA CONSTRUCTION BANK-H | 0.9 |
| Shanghai and Shenzhen's Most Heavily Traded by Value | 1-Day Change (%) |
|---|---|
| CONTEMPORARY AMPEREX TECHN-A | 3.5 |
| ZHONGJI INNOLIGHT CO LTD-A | 1.7 |
| SUZHOU TFC OPTICAL COMMUNI-A | -5.7 |
| LUXSHARE PRECISION INDUSTR-A | 0 |
| EOPTOLINK TECHNOLOGY INC L-A | -0.8 |
| VICTORY GIANT TECHNOLOGY -A | -3.5 |
| SUZHOU DONGSHAN PRECISION-A | 7.9 |
| GIGADEVICE SEMICONDUCTO-CL A | 5.4 |
| JIANGSU ZHONGTIAN TECHNOLO-A | 4.8 |
| CHINA SPACESAT CO LTD -A | 6 |
Last Night's Exchange Rates, Prices, & Yields
- CNY per USD 6.82 versus 6.82 yesterday
- CNY per EUR 8.01 versus 8.02 yesterday
- Yield on 10-Year Government Bond 1.75% versus 1.76% yesterday
- Yield on 10-Year China Development Bank Bond 1.84% versus 1.84% yesterday
- Copper Price -0.34%
- Steel Price 0.76%
