Hong Kong stocks closed (01.05) | Hang Seng Index closed up 0.03%, brain-computer interface concept exploded, Kuaishou-W (01024) surged 11% to lead blue chips

The Zhitong Finance App learned that the three major indices of Hong Kong stocks surged higher and fell this morning. They all recorded a decline during the intraday period, and the Hang Seng Index and the Hengke Index turned red at the end of the session. At the close, the Hang Seng Index rose 0.03% or 8.77 points to 26347.24 points, with a full-day turnover of HK$283.462 billion; the Hang Seng State-owned Enterprises Index fell 0.22% to 9148.47 points; and the Hang Seng Technology Index rose 0.09% to 5741.63 points.

Huatai Securities pointed out that Hong Kong stocks closed higher last week, driven by technological catalysis, and achieved a “good start” on the first trading day of 2026. The current market sentiment and financial environment are better than in November, and the winning rate of Hong Kong stocks has increased. The bank suggests, on the one hand, continuing to allocate technology chains with performance expectations to catalyze the next quarter in the liquidity environment, and to balance the allocation of cash flow assets by taking into account drivers and financial changes.

Blue-chip stock performance

Kuaishou-W (01024) leads the blue chip. At the close, it rose 11.09% to HK$73.6, with a turnover of HK$9.898 billion, contributing 35.65 points to the Hang Seng Index. Everbright Securities said that Kuaishou's video model “Keling” has exploded overseas with its “simultaneous audio and video output” function. The daily flow rate has surged 2.5 times, and the estimated revenue for 2025 exceeds US$140 million. Combined with AI, the advertising business is improving efficiency, and the company's valuation logic is being reshaped under two-wheel drive.

In terms of other blue-chip stocks, Cinda Biotech (01801) rose 6.09% to HK$83.6, contributing 12.51 points to the Hang Seng Index; Chow Tai Fook (01929) rose 5.13% to HK$13.11, contributing 2.03 points to the Hang Seng Index; Whirlpool Properties (01997) fell 3.57% to HK$25.34, dragging down the Hang Seng Index by 2.44 points; and CNPC (00857) fell 3.52% to HK$8.22, dragging down the Hang Seng Index by 10.11 points.

Popular sector aspects

On the market, most large technology stocks flourished. Kuaishou surged 11%, Alibaba rose more than 2%, and Tencent rose 0.24%. Neuralink plans to launch large-scale production in 2026, and the brain-computer interface concept exploded; last year, China's innovative drug licensing surpassed 100 billion US dollars, and the pharmaceutical stock trend was strong; Qiushi magazine articles stabilized expectations, and domestic housing stocks performed well; cryptocurrency concepts, insurance stocks, and semiconductor stocks rose one after another. On the other side, the commercial space concept was adjusted, and Goldwind Technology fell by more than 8%; automobiles, petroleum stocks, and copper stocks had the highest declines.

1. The brain-computer interface concept exploded. At the close, Nanjing Panda Electronics (00553) rose 39.75% to HK$6.75; Minimally Invasive Brain Science (02172) rose 19.73% to HK$13.53; Brain Aurora-B (06681) rose 15.74% to HK$7.87; and Xinwei Medical-B (06609) rose 9.62% to HK$59.85.

According to reports, Musk recently stated on social media that its brain-computer interface company Neuralink will begin “large-scale production” of brain-computer interface devices in 2026. Open Source Securities emphasized in its latest research report that the brain-computer interface industry is currently preparing for high growth where the three major driving forces of technological breakthroughs, policy support, and robot ecosystem collaboration resonate. According to Precedence Research, the global brain-computer interface market is expected to reach US$12.4 billion by 2034, with a compound annual growth rate of 17% from 2025 to 2034.

2. Domestic housing stocks performed brilliantly. At the close, Greentown China (03900) rose 6.56% to HK$8.93; Shimao Group (00813) rose 5.76% to HK$0.202; China Resources Land (01109) rose 5.05% to HK$29.12; and Longhu Group (00960) rose 4.81% to HK$9.16.

“Qiushi” magazine published the article “Improving and Stabilizing Real Estate Market Expectations”, clarifying that real estate plays an important role in national economic development. It is clearly necessary to correctly understand the current situation, act proactively, shorten the adjustment period as much as possible, iron out market fluctuations, clearly maintain policy strength, meet market expectations, and policies must be sufficient at once, and no fueling tactics can be adopted, causing the market and policy to fall into a state of rivalry. Everbright Securities said that the “Qiushi” publication stabilizes expectations and is looking forward to strengthened policies in 2026.

3. Pharmaceutical stocks are trending strongly. At the close, Zhaoyan Biotech (06127) rose 13.73% to HK$22.7; Yingen Biotech (09606) rose 11.81% to HK$331.4; Rongchang Biotech (09995) rose 7.94% to HK$79.5; and Collumbotai Biotech (06990) rose 7.84% to HK$432.

On the evening of January 3, the official WeChat account of the State Drug Administration stated that in 2025, the number of innovative drugs approved for marketing in China reached 76, far exceeding 48 in 2024, a record high. Furthermore, in 2025, the total amount of foreign authorized transactions for innovative drugs in China exceeded 130 billion US dollars, and the number of authorized transactions exceeded 150, which also reached a record high. Additionally, the 44th J.P. Morgan Healthcare Conference (JPM) will be held in San Francisco from January 12 to 15, 2026, and is expected to attract more than 8,000 global participants.

4. Domestic insurance stocks rose collectively. At the close, Xinhua Insurance (01336) rose 5.34% to HK$59.2; China Taibao (02601) rose 4.03% to HK$37.66; China Life (02628) rose 3.4% to HK$29.82; and Ping An of China (02318) rose 2.69% to HK$68.6.

Recently, data from the State Financial Supervisory Administration showed that in the first 11 months of 2025, the insurance industry achieved a total premium income of 5762.9 billion yuan, an increase of 7.6% over the previous year. Among them, personal insurance companies achieved premium income of 4147.2 billion yuan, an increase of 9.1% over the previous year; financial insurance companies achieved premium income of 1615.7 billion yuan, an increase of 3.9% over the previous year. Dongwu Securities stated that it is optimistic about a “good start” in 2026. Insurance operations have significant procyclical characteristics. In the future, as the economy recovers, both the debt side and the investment side will improve significantly.

5. Auto stocks were the first to fall. At the close, Great Wall Motor (02333) fell 6.15% to HK$14.19; Xiaopeng Motor-W (09868) fell 4.6% to HK$76.65; and Ideal Automobile-W (02015) fell 2.5% to HK$66.35.

The 2026 automobile trade-in subsidy policy will continue. Societe Generale Securities released a research report saying that compared with the 2025 policy, the maximum subsidy amount of the 2026 policy remains the same, the subsidy method is more accurate, the car price has been increased as a limiting condition, and the same level of subsidy will no longer be used for models at different prices. The 2025 fixed subsidy leveraged the sales volume of a large number of low-priced models. In the field of pure electric vehicles, the subsidy amount for high-end models was relatively stable in the field of pure electric vehicles, while the subsidy amount for low-end electric vehicles declined, which may benefit the consumption of mid-range and high-end cars.

6. Oil stocks are generally weak. At the close, CNPC (00857) fell 3.52% to HK$8.22; CNOOC (00883) fell 3.29% to HK$21.14; and Sinopec (00386) fell 1.91% to HK$4.61.

The United States launched a military attack on Venezuela and arrested Venezuelan President Nicolas Maduro. Trump made it clear that “major US oil companies will invest billions of dollars to focus on repairing Venezuela's severely damaged oil infrastructure to help restore production capacity and generate profits,” while “the oil embargo on Venezuela remains fully effective.” Goldman Sachs believes any recovery in production will be “gradual and partial,” given the extent of infrastructure degradation. However, a long-term increase in Venezuelan production, combined with the increase in production in the US and Russia, will further increase the risk of falling oil prices in 2027 and beyond.

Popular exotic stocks

1. Lying On Robot (06600) hit a record high. At close of trading, it rose 19.57% to HK$110.

Sleeping Robot is the world's leading global provider of home robot systems. Its main markets include Japan, Europe and North America, and is committed to building an ecosystem centered on smart home robot products. The company stated in the data collection after the hearing that it will launch the first humanoid home robot in January 2026. Key application scenarios of this product are expected to include sorting and organizing clothes, cleaning and storing dishes after meals, and auxiliary meal preparation.

2. Black Sesame Smart (02533) was strong throughout the day and closed up 11.21% to HK$21.72.

On January 4, Black Sesame Intelligence announced that its high-performance all-scene intelligent driving chip, the Huashan A2000, has successfully passed relevant reviews by the US Department of Commerce and the Department of Defense, and has been approved for global sales and application. This move marks that the A2000 chip has officially entered the large-scale application stage and will provide core computing power support for the commercialization of advanced intelligent driving.