Zhitong Hong Kong Stock Exchange Unravels | An Intraday Rush Attack, “Changan's Lychee” is in full swing

[Anatomy Dashboard]

Both markets were normal this morning, but suddenly fell rapidly in the afternoon. Fortunately, it stabilized later, and the Hang Seng Index fell slightly by 0.08%.

According to some sources, “The trade negotiations between China and the US have continued for about 6 hours and Chinese officials have left, but Bezent, Lutnick, and Greer have yet to leave.” In fact, the negotiations themselves are an iterative game process, and it is impossible to get them over quickly.

A CCTV news reporter learned that on June 10, local time, the first meeting of the Sino-US economic and trade consultation mechanism will continue. It is estimated that the focus here is still on rare earths. Not only the US, but other third parties that follow are facing a rare earth crisis. Xinhua Review: The goal of the new rare earth export control regulations is to “regulate exports,” not so-called “tactical countermeasures” that have arisen on a whim. Legally, it is necessary to occupy a high position; it cannot be confused with tariffs. The Hong Kong stock, China Rare Earth (00769), rose more than 13% today.

The riots in California continue. The main purpose of Trump's aggressive suppression is to attack California, the home of the Democratic Party. Of course, the consequences will also be quite serious. The military parade on June 14 is also approaching. It's really hard to say what will happen at that time.

The capital market is also responding. The latest data shows that Korean retail investors first became net sellers of US stocks in May. At the same time, Japanese retail investors became net sellers of US ETFs in the same month. Tokyo Stock Exchange data showed that Japanese retail investors sold about 166 million US dollars in US-themed ETFs, the largest reduction in holdings since April 2023.

International capital is seeking a new direction, but Europe is clearly unable to handle it. The Norwegian Petroleum Fund, the world's largest sovereign fund with 1.9 trillion US dollars, warns that the European capital market is not sufficiently competitive due to structural problems, and its own allocation to European stocks has dropped sharply from 26% to 15% in the past ten years.

Judging from the trend, the Chinese market is hopeful that it will take over. At one point, the offshore renminbi rose more than 100 points and broke through 7.18. Gold continues to perform strongly. Wanguo Gold Group (03939) and China Gold International (02099) have taken a beautiful upward trend. Other non-ferrous categories such as China Hongqiao (01378), China Aluminum (02600), and China Nonferrous Mining (01258) are all sought after by capital.

The major press conference mentioned yesterday was held as scheduled. The main focus was on the field of nursing care, such as the minimally invasive medical treatment (00853) and Xintai Healthcare (02291) mentioned, which rose more than 6%, and Elken Healthcare (01789) rose more than 3%; in addition, yesterday it was mentioned that we should pay attention to the direction of real estate. Xiao Weiming, Deputy Secretary General of the National Development and Reform Commission, said at the press conference of the State Information Office that a number of major strategic tasks, major policy initiatives, and major projects in the field of people's livelihood will be proposed; it is expected that the scale of investment within the central budget to support social causes this year will increase by more than 30% compared to the end of the 13th Five-Year Plan.

It can be seen that with countercyclical fiscal strength, major domestic infrastructure projects have started one after another, and investment opportunities for major infrastructure projects in the central and western regions have been highlighted. China Liansu (02128), a construction material, rose nearly 6%. There are also new trends in real estate. Overseas financing for private housing enterprises has restarted. Xincheng Development (01030): Xincheng Development, the parent company of Metro Holdings, is promoting the issuance of US dollars. The estimated issuance amount is between 250 million US dollars and 300 million US dollars. This is a good thing. Today's increase is over 7%.

The pharmaceutical sector mainly focuses on tomorrow's talks, and the related pharmaceutical stocks with a high share of overseas business continue to be speculated. CXO groups mentioned yesterday, such as Tiger Pharmaceuticals (03347), Zhaoyan New Pharmaceutical (06127), Gloria Ying (06821), and Kanglong Chemical (03759): Last year, more than half of the revenue came from the China Contract Research Organization (CRO) and Contract R&D and Production Organization (CDMO) in the US market.

The shipping sector is also speculating on expectations. According to reports, container shipping rates from China and East Asia to the West Coast of the United States have skyrocketed by 94% in the last week, and the price per standard unit (FEU) is close to 6,000 US dollars. This data comes from real-time booking price monitoring in the shipping market. Dexiang Shipping (02510) rose more than 5%, and Haifeng International (01308) rose more than 6%. The aviation category also rose collectively.

Demand for AI remains strong. TSMC's revenue in May was NT$320.52 billion, up 39.6% year over year. ByteDance's Volcano Engine will hold the 2025 Power Conference in Beijing on June 11-12, and the Doubao family will be fully upgraded. Volcano Engine's revenue in 2024 exceeded 12 billion dollars, and its revenue target doubled to 25 billion dollars in 2025. The market share of large model calls reached 46.4%, more than Alibaba Cloud and Baidu Smart Cloud combined.

Meta's strategic counterattack after Llama's big model was thwarted, and Zuckerberg is personally recruiting a secret “super intelligent” AI team built by a team of about 50 experts, pointing the sword to the throne of Google and OpenAI. Meta plans to invest up to several billion dollars in ScaleAI, which is expected to be the largest external investment in Meta's history. Related individual stocks Huiliang Technology (01860), Medical Pulse (02192), and Fourth Paradigm (06682) all rose more than 8%.

The solid-state battery market continues to rise in popularity. Industry insiders said that solid-state batteries have been identified as the core direction for next-generation power batteries, and the policy, capital, and industrial chain are forming a trinity promotion situation, and the loading of solid-state batteries is gradually getting closer. CITIC Securities expects global solid-state battery shipments to reach 642.6 GWh in 2030, with a compound growth rate of 133% from 2024 to 2030. Longpan Technology (02465) rose more than 6%.

Just how popular is LABUBU? Banks also have to rely on it to pull in deposits. Some banks have launched a LABUBU deposit campaign. If you deposit 50,000 yuan, you can get a blind box. Bubble Mart (09992) has indeed become a phenomenal consumer product, rising more than 3% today.

The Ministry of Commerce issued a notice deciding to open an anti-dumping investigation against imports of related pork and pig by-products originating in the European Union. Due to the complicated circumstances of the case, it was decided to extend the investigation period for filing the case until December 16 this year in accordance with regulations.

Dekang Agriculture and Animal Husbandry (02419) is pioneering a new paradigm for the growth of China's pig industry. The company's self-cultivated Dekang E breed pigs have been promoted on a large scale since 2023, and the cost reduction results have been remarkable. The agency predicts that at present, the company's complete cost may have dropped below 13 yuan/kg, and the cost is in the first tier of the industry. The company plans to expand from the southwest to the South China and East China markets. While its own farm and No. 1 family farm are steadily expanding, it will focus on developing the No. 2 family farm model. The growth rate of the company's pig production is expected to be around 30% in the next three years.

[Section Focus]

“Chang'an's Lychee” has been very popular in the past two days. It is a novel by the famous writer Ma Boyong. The previous hit drama was Changan 12 o'clock, and it was also a phenomenal TV drama at the time. This year, the TV series copyright of Changan's lychee novel and the film copyright were sold separately, which is enough proof of recognition for this work.

The TV series began airing on June 7. Today is the third day, with a total ratings of 35 episodes. The TV drama stars Lei Jiayin and Yue Yunpeng. Currently, it is number one on the internet. Weibo and Xiaohongshu are popular in all kinds of searches. After the TV series version ended, the movie version “Chang'an's Lychee” followed. It was filmed by Shanghai Aimei Film and Television Culture Media Co., Ltd., directed by Dapeng, Dapeng, Shen Yuyue, and Dai Siao, starring Dapeng, Andy Lau, Yang Mi, Zhang Ruoyun, Liang Chao, and Wang Yutian, and was screened on July 25, 2025. As TV dramas are broadcast every day, it is expected that there will continue to be continuous popularity and public opinion.

There are quite a few types of related concept stocks that have risen or stopped today. The main types in the Hong Kong stock market are the producer Maogan Entertainment (01896), and other indirect products such as the channel side Alibaba Pictures (01060) and the power supply company MAXCHINA (01970).

[Individual Stock Mining]

Hanson Pharmaceuticals (03692): Performance continues to grow rapidly and innovative drugs to go overseas continue to accelerate

In 2024, the company achieved revenue of 12.261 billion yuan, up 21.3% year on year, of which pharmaceutical sales revenue was 10.688 billion yuan, up 13.7% year on year; R&D expenditure was about 2.702 billion yuan, up 28.8% year on year, accounting for about 22.0% of revenue; and profit of 4.372 billion yuan, up 33.4% year on year.

Comment: The company's innovative drugs account for a high share of revenue, driving performance to maintain rapid growth, independent research and BD two-wheel drive, rich early pipeline layout, and active international layout.

Recently, the company announced that EGFR-TKI Amalol, the core product in the field of oncology, has been approved in the UK. Indications include: 1) first-line treatment for patients with locally advanced or metastatic non-small cell lung cancer (NSCLC) in adults with activated epidermal growth factor receptor (EGFR) mutations; 2) treatment of adult patients with locally advanced or metastatic EGFRT790M mutations positive. The company will continue to promote the listing of its products in the European Union in the future.

Innovative pharmaceuticals continue to accelerate overseas, and the company once again successfully concluded overseas licensing agreements with famous US pharmaceutical companies. The company signed a license agreement with REGN.US (REGN.US), a well-known US pharmaceutical company, to grant Regeneran the right to GLP-1 receptor agonist HS-20094 in development, production and commercial R&D pipelines in regions other than mainland China, Hong Kong and Macau. The company will receive an initial payment of $80 million and a milestone payment of up to $1.93 billion. The approval of recycled elements indicates that the product is of good quality.

The company reached licensing agreements with global pharmaceutical industry giants GSK (GSKUS) and MSD (MRKUS) in the field of oncology and metabolism in 2023-24. This time, the company's R&D strength is highly recognized by famous overseas companies. The fourth licensing agreement reached by Hanson Pharmaceuticals with global pharmaceutical companies in the past two years highlights the company's successful innovation and transformation.