To The Moon

Hong Kong stocks bounced back this week, with the $HSI(HSI)$ surging 3.62%, reclaiming the key 26,000 level.

Mixed Economic Signals

China’s latest data brought both cheer and caution.

• Q3 GDP rose 4.8%, matching expectations but slowing from previous quarters.

• Retail sales in September grew 3.0%, marking a four-month slowdown and the weakest pace in 10 months.

• Industrial output jumped 6.5%, hitting a three-month high and beating forecasts.

While the macro picture remains uneven, the market tone improved. Stocks that had led earlier, such as utilities and old-economy names, took a breather.

Tech, semiconductors, and banks came roaring back, stabilizing the broader index.

Policy Boost from the Fourth Plenum

The 20th Fourth Plenary Session concluded this week, delivering a strong policy push.

The communiqué praised China’s progress during the 14th Five-Year Plan and mapped out goals for the 15th Five-Year Plan, highlighting:

• building a modern industrial system,

• boosting technological self-reliance,

• expanding domestic demand and opening-up,

• improving livelihoods,

• and advancing a green transition.

Notably, mentions of “technology” surged from 2 times in the previous plenum to 10 times this year — a clear signal of Beijing’s focus. That alone fueled a powerful rally in tech shares.

Global Tailwinds

Adding fuel to the optimism, former U.S. President Donald Trump expressed confidence that the U.S. and China could reach a trade deal at the upcoming APEC summit, and even hinted at a visit to China early next year.

With multiple catalysts at play, most Hong Kong sectors ended higher — except for healthcare and materials.

Southbound funds posted a net inflow of HK$17.28 billion this week.

Major Events in Hong Kong Stocks This Week

1. $LEAPMOTOR(09863)$ founders increased holdings by 3.24M shares.

2.Retail sales up 3.0% YoY in September.

3.Home prices fell across all city tiers.

4.China GDP up 4.8% in Q3.

5.iPhone 17 sales up 14% pre-launch — $Apple(AAPL)$ supply chain stocks surged.

6.Trump says he’ll visit China early next year.

7. $POP MART(09992)$ projected 240%+ revenue growth, but shares tumbled.

8.Gold and silver whipsawed — precious metals plunged.

9. $INNOVENT BIO(01801)$ inked a $11.4B BD deal with Takeda.

10.Goldman Sachs sees 30% upside for China equities in two years.

11.Trump Says U.S. and China Likely to Reach Trade Deal at APEC Summit

12.Oil prices spiked after new Western sanctions on Russia.

13.Agricultural Bank of China notched 12 straight gains.

14.Fourth Plenum signals a new decade of high-tech expansion.

Three Stocks Worth Attention Among Top Trading HK Stocks This Week

Top3: $POP MART(09992)$ . Despite a 240%+ revenue jump, shares plunged on fears of slowing growth.

Top4: $SMIC(00981)$ . Semiconductor names surged as the Plenum emphasized tech self-reliance.

Top6: $ZIJIN GOLD INTL(02259)$ . Gold names fell sharply after bullion hit a record $4,381.51 before plunging on peace-talk headlines.

Next Week's Hong Kong Stock Market Events

1. China’s leaders will attend the 32nd APEC Summit, all eyes on the upcoming U.S.–China talks.

2.  Next Monday, China will release September industrial profits data.

3.  U.S. Federal Reserve rate decision on Thursday, markets expect a 25 bps rate cut.

4.   China’s October PMI to be released Friday.

5.  Earnings week for global giants: $Microsoft(MSFT)$ $Meta Platforms, Inc.(META)$ $Alphabet(GOOG)$ $Alphabet(GOOGL)$ $BYD Co., Ltd.(BYDDY)$ $Apple(AAPL)$ $Amazon.com(AMZN)$ will all report results.