Hong Kong stocks closed (11.12) | The Hang Seng Index closed down 1.26%, defended the 20,000 domestic GPUs, and both rebounded the market and Alibaba-W (09988) led the blue chip decline

The Zhitong Finance App learned that the three major Hong Kong stock indices accelerated their decline in the afternoon, and the Hang Seng Index narrowly held the 24,000 mark. Currently, investors are evaluating the impact of Nvidia's leadership crisis. At the close, the Hang Seng Index fell 1.26% or 307.37 points to 24008.55 points, with a full day turnover of HK$202,652 billion; the Hang Seng State-owned Enterprises Index fell 1.40% to 8056.76 points; and the Hang Seng Technology Index fell 2.36% to 3931.93 points.

Huatai Securities believes that looking back, the profit forecast for Hong Kong stocks has been revised by 2.4% in the past 4 weeks, and the probability that the Federal Reserve will raise interest rates in December is still around 75%. Combined with the peak of the lifting of the ban on Hong Kong stocks in December, it is not recommended to continue chasing high-beta companies. Hong Kong stocks may enter an α-driven market phase. In terms of technology, Hong Kong stock hardware has been internally fragmented, and domestic semiconductors have rebounded, but the southbound trend is still declining, and we still have to wait for the trend to increase.

Blue-chip stock performance

Alibaba-W (09988) led the blue chip decline. At the close, it decreased by 6.76% to HK$93.8, with a turnover of HK$18.735 billion. Alibaba officially proposed to split Pingtou and list it in Hong Kong. The goal is to increase the contribution of self-use of computing power from more than 10% to 40% to 50%, and it is expected to ship about 700,000 GPUs in 2027. Bank of America Securities sees the spin-off as a positive catalyst, but emphasizes the need for evidence of strong revenue growth, regulatory progress, and transaction terms before investors can give independent valuations.

In terms of other blue-chip stocks, Huahong Hongli (01347) rose 2.46% to HK$77; CNOOC (00883) rose 0.53% to HK$22.84; Luoyang Molybdenum (03993) fell 4.27% to HK$12.11; and Tencent Holdings (00700) fell 2.64% to HK$398.8.

Popular sector aspects

On the market, funds were clearly withdrawn from computing power hardware to pharmaceuticals and defense varieties. Domestic GPUs bucked the trend and strengthened. Tianshou Zhixin rose 8.85%, Bijiao Technology rose 5.64%, and Pingtou's split table caused the domestic computing power standard to be reassessed; the optical communication chain returned in the afternoon, and Changfei optical cable fell 6.24%; gold stocks fell by 5.46% as the gold price fell by 4,000 US dollars, Shandong gold fell 5.46%, and after US prices exceeded expectations in October, the probability of interest rate hikes in December; some pharmaceutical stocks rose by nearly 3%, and Pharmaceutical Kangde rose 2.44%.

Domestic GPUs surged against the market. At the close, Tianshu Zhixin (09903) rose 8.85% to HK$78.7; Bijiao Technology (06082) rose 5.64% to HK$22.48.

The news that Nvidia's board of directors plans to remove CEO Wong In-hoon continues to disrupt the market. Reports say that the board of directors met as early as Wednesday local time to decide where to stay. Some analysts pointed out that if Nvidia falls into a management vacuum, the pace of its product delivery may be affected. This is just a window for replacing domestic computing power to accelerate the fulfillment of expectations. In addition, Ali announced that it has submitted an application to the Hong Kong Stock Exchange to split Pingtou Ge's independent listing. Pingtouge's spin-off form is expected to cause domestic computing power targets to gain a revaluation anchor point.

Gold stocks fell collectively. At the close, Zijin Gold International (02259) fell 10.35% to HK$126.5; Shandong Gold (01787) fell 5.46% to HK$17.85; and Zijin Mining (02899) fell 3.46% to HK$27.94.

After the US price data for October was released, the probability that the Federal Reserve will raise interest rates by 50 basis points next month has risen sharply. According to the Chicago Mercantile Exchange's Federal Reserve Watch Tool, traders expect the probability that the Fed will raise interest rates in December to be 100%, and the probability of raising interest rates by 50 basis points is 12.7%. Federal Reserve Governor Waller said that under such circumstances, the December interest rate meeting should consider raising interest rates by 50 basis points. The international gold price once again fell below the $4,000 mark. CITIC Futures pointed out that short-term gold maintains a volatile judgment, and expectations of interest rate hikes still need to be mitigated if the rebound continues. Follow the follow-up inflation data, the Fed's statement, and the progress of the US-Iran negotiations.

MSCI announced an index adjustment, and the trend of related stocks weakened. At the close, Yuandong Hongxin (03360) fell 6.98% to HK$5.265; Giant Biotech (02367) fell 3.94% to HK$20.46; C&D International Group (01908) fell 3.47% to HK$13.34; and China Building Materials (03323) fell 3.18% to HK$2.74.

On November 12, Beijing time, the international index compilation company MSCI (MSCI) announced the results of the regular review of the MSCI stock index for November 2026. All adjustments will officially take effect after closing on November 30, 2026. Among them, the MSCI China Index excludes 38 stocks including C&D International Group, China Building Materials, Far East Hongxin, and Ganfeng Lithium. Additionally, Sands China Limited is excluded from the MSCI Hong Kong Index.

Some pharmaceutical stocks are flourishing. At the close, Zaiding Pharmaceuticals (09688) rose 2.74% to HK$21.02; Pharmaceuticals (02359) rose 2.44% to HK$201.4; Hanson Pharmaceuticals (03692) rose 1.69% to HK$34.94; and BeiGe Shenzhou (06160) rose 1.59% to HK$255.8.

Societe Generale Securities pointed out that “innovation+internationalization” is still the core main line of pharmaceuticals in 2026, and the three-quarter report verifies the rapid growth of the profit side and industrial chain of innovative drugs. In Q3 2026, net profit from the A-share Innovative Drug Index increased by 51.70% year-on-year, while CRO index revenue and net profit to mother increased by 33.58% and 85.87% respectively. Open Source Securities said that global biomedical investment and financing is soaring, AI pharmaceuticals are gradually bringing in new volumes, adding phenomenal drug releases such as diet pills, and orders from many companies in the sector are accelerating. Performance is expected to accelerate growth in 2027, and there are many investment opportunities.

Popular exotic stocks

Yiwei Technology (02065) saw a sharp rise in the first listing. At the close, it was up 38.18% to HK$13.68.

Yiwei Technology was listed on the main board of the Hong Kong Stock Exchange today at an issue price of HK$9.9 million and raised about HK$710 million. According to Frost & Sullivan, the company is the third-largest intelligent mobile robot solution provider in terms of revenue in 2025, with a market share of about 4.2%, making it the largest single-mode robot solution provider in China, with a market share of 2.2%.

New Lotus (02206) continues to move higher. At the close, it was up 26.09% to HK$87.

New Lotus is the core supplier of large-scale Chinese medicine tablets in China. It has two major products: ordinary Chinese medicine tablets and toxic tablets, with a total of more than 770 types and more than 4,900 products, and has more than 1,000 customers in hospitals, medical institutions and large pharmacy chains in China. According to the sales revenue of Chinese herbal medicine products in 2025, the company ranked 2nd in the industry nationwide.

Communication Holdings (02636) is included in the Hong Kong Stock Connect. At the close, it was up 22.47% to HK$46.44.

Communication Holdings has become the Hong Kong Stock Exchange Standard starting today, and southbound capital can be directly allocated. According to the Caitong Securities Research Report, the company's core market focuses on emerging markets such as Africa and South Asia. The year-end Christmas period drives the formation of a traditional consumer window in the fourth quarter. Channels generally prepare goods in advance, and support holiday promotions to release terminal demand.

Linzhan Real Estate Fund (00823) saw a slight increase in mid-term allocations. At the close, it was up 3.23% to HK$41.5.

At noon, Lingzhan Real Estate Fund announced its interim results up to the end of September this year. The total amount that can be distributed increased by 0.4% year on year to HK$3,295 billion, and each fund unit distributed 127.25 HK cents, an increase of nearly 0.3% over the previous year. Interim revenue of HK$6.909 billion was reduced by 1.6% year-on-year, mainly due to the negative rent renewal adjustment rate in Hong Kong, reflecting the delay in retail recovery of essential consumer goods and the continued evolution of online consumption patterns.

White Pigeon Online (02672) remained lower even after refuting the rumor. At the close, it was down 10.61% to HK$36.56.

White Pigeon Online crashed at the end of the session yesterday and closed down 72.08%. A clarification notice was issued on the same night, indicating that certain entities associated with unauthorized financing platforms used the company name, brand logo and stock code without authorization. The company, controlling shareholders and members did not have any equity, management, business cooperation or financial transactions with these platforms, and it has been reported to the Xiamen and Shenzhen public security authorities and local financial supervisory authorities.

Changhe (00001) suspended the spin-off of Watsons. At the close, it was down 3.81% to HK$69.35.

According to reports, in response to current market conditions, Changhe suspended plans to split Watsons's dual listing in London and Hong Kong. If the environment improves, it may be re-advanced next year. In addition to the market climate, weak consumer demand in the mainland also put a lot of pressure on the listing plan. Watsons originally planned to be listed in both places this fall, raising about 2 billion US dollars, corresponding to a valuation of about 30 billion US dollars.