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Techtronic crashed 19% after it was attacked by a short seller.
The Hong Kong market opened slightly lower on Thursday. Hang Seng index opened down 85 points, H share index down 26 points and technology index down 10 points. Technology and fin...
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Techtronic crashed 19% after it was attacked by a short seller.
Analyst : Lun Sheung Nim (CEO, GEO Securities Limited)
The Hong Kong market opened slightly lower on Thursday. Hang Seng index opened down 85 points, H share index down 26 points and technology index down 10 points. Technology and financial stocks fell. Tencent lost 1.5% for 26-point loss. HSBC lost 0.82% for 16-point loss. AIA lost 0.97% for 16-point loss. JD lost 2.8% for 15-point loss. Baidu lost 2.9% to lead the losers. A shares opened up 2 points. The market turned from loss to gain after opening. Alibaba rose 1.7% for 28-point gain. Tencent’s loss narrowed. Local properties fell. Hang Lung Property lost 2%. SHK Property lost 1.7%. Henderson Land lost 1.6%. Mainland properties also fell. China Overseas Land lost 2.2%. CG Services lost 1.24%. CR Land lost 1.5%. Coal miners rose. Yankuang rose 5.96%. YK Australia rose 3.5%. China Shenhua rose 2%. China Coal rose 3.2%. On the contrary, CR Power lost 1.2%. China Power lost 3.5%. Huaneng lost 2.9%. Datang lost 2.2%. China Lungyuan lost 4.1%. Glass manufacturers fell. Xinyi Glass lost 4.25% to lead the losers. Luoyang Glass lost 1.9%. China Glass lost 1%. The market rose further in midmorning as blue chips rose further. Alibaba rose 2.8% for 46-point gain. Ping An rose 2.3% for 15-point gain. Tencent rose 1.8% for 33-point gain. JD rose 2.3% for 12-point gain. China Mobile rose 1.9% for 12-point gain. A shares closed the morning up 2 points. Hang Seng index closed the morning up 110 points, H share index up 77 points and technology index up 85 points. Turnover was $57 billion.

The market turned from gain to loss in the afternoon. Financials led the fall. HSBC lost 1.9% for 37-point loss. AIA lost 1.15% for 19-point loss. Techtronic was the target of a short seller. Share price crashed 19% for 50-point loss before trading was suspended. It was by far the biggest loser. Alibaba rose 1.8% for 28-point gain. Bili Bili rose 3.56%. Lenovo rose 5.5% to lead the gainers. Lenovo expected profit to rebound in the second half. Sunny Optical rose 3.8%. Online game shares rose. Netease rose 3.7%. Boya rose 2%. IDreamsky rose 2.34%. XD Inc rose 2%. Telecoms fell. China Unicom lost 5.4%. China Telecom lost 3%. Metals fell. China Hongqiao lost 2%. Chalco lost 2%. Jiangxi Copper lost 0.9%. Maanshan Iron lost 1.55%. Xinyi Glass lost 4.6%. Luoyang Glass lost 2.5%. However, Conch Cement rose 2.6%. CNBM rose 1.1%. Shanghai composite index closed down 4 points. The market rebounded in late trading. Alibaba rose 2.3% for 38-point gain. Hang Seng index closed down 72 points, but H share index up 27 points and technology index up 48 points. Turnover was $112.7 billion.

Overnight, overseas markets generally rose. DAX rose 76 points and CAC rose 18 points. However, FTSE lost 23 points. US markets rebounded as interest rates fell. Nvidia soared 14%. Dow Jones rose 108 points. S & P rose 21 points and Nasdaq rose 83 points. Hong Kong ADR’s lost 114 points. Night future lost 266 points. We expect the market to rebound today.  
 
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