[ET Net News Agency, 25 August 2026] US Treasury Department takes further action to curb bond yields, with rumours suggesting it may use General Account funds to buy back high-yield old bonds, causing 10-year and 30-year bond yields to fall further. US stocks performed divergently overnight, while Hong Kong stocks crawled out of the shadow of Alibaba's (09988) share placement. The trend remains disturbed by the earnings reporting season, coupled with Meituan's (03690) sharp plunge during the session. The HSI closed the half-day at 25,453, down 64 points or 0.3%, with main board turnover approaching HKD 126.8 billion. The Hang Seng China Enterprises Index stood at 8,435, down 36 points or 0.4%. The Hang Seng TECH Index closed at 4,559, down 34 points or 0.8%.
"Ng Lai Yin: US interest rates have a more indirect impact on Hong Kong stocks"
The half-day trend of Hong Kong stocks was soft, turning down 64 points after opening higher. Kenny Ng Lai Yin, a securities strategist at Everbright Securities, told ET Net News Agency that the Hong Kong stock market is currently in the earnings reporting season, but the results of major enterprises lack surprises, making it difficult to inject upward momentum into the broader market. Coupled with Alibaba's (09988) historical massive share placement yesterday, which triggered market concerns over a potential fundraising wave by Mainland China tech enterprises, selling pressure is expected to persist in the near term. The HSI is basically expected to maintain a range-bound market pattern before the end of August, hovering between 25,000 and 26,000.
Global markets will welcome several heavyweight news items this week, including US PCE inflation data and Kevin Warsh's appearance at the Jackson Hole Symposium. Ng Lai Yin pointed out that although interest rate trends remain the current focus of global markets, Hong Kong's interest rate environment is different from that of the US, and the impact on Hong Kong stocks is relatively indirect. He explained that although the Hong Kong banking sector refers to the US when determining interest rates, based on past experience, local banks' prime rates have repeatedly failed to fully follow the magnitude of US adjustments. Therefore, the US interest rate trend can serve as a reference, but it may not directly dominate the future direction of Hong Kong stocks.
"XPeng has a higher chance of bottom consolidation"
XPeng's (09868) second-quarter adjusted net loss widened year-on-year to RMB 1.237 billion, compared to RMB 385 million in the same period last year, with the loss magnitude greater than the market expectation of RMB 767 million. No interim dividend was declared. During the period, revenue increased by 8% year-on-year to RMB 19.744 billion, falling short of market expectations; while the gross profit margin rose by 3.4 percentage points year-on-year to 20.7%, beating expectations. In addition, XPeng expects third-quarter vehicle deliveries to range between 115,000 and 121,000 units, representing a year-on-year change ranging from a decline of 0.87% to an increase of 4.3%. XPeng plunged 9.7% at midday to report at HKD 43.04.
Ng Lai Yin stated that the sluggish market conditions in the new energy vehicle market are nothing new. Under the condition of falling delivery volumes, gross margin coming under pressure is a normal phenomenon. Coupled with the generally weaker sales performance of automakers in the industry in the first half of this year compared to last year, competition in the second half is expected to become even more intense, and industry fundamentals may further deteriorate.
However, since the market has long generally expected the new energy vehicle market conditions to be weak, XPeng's less-than-ideal performance this time is also within expectations, and it is expected that subsequent selling pressure will not be too large. The chance of the stock price consolidating at a low level in the near term is relatively high. XPeng also possesses certain advantages in the market, with a relatively large variety of SUV models under its brand. If third-quarter delivery volumes can at least reach the company's guidance, it will help stabilize the stock price.
Although XPeng is recently at a low level, Ng Lai Yin reminded that deployment should remain on the sidelines first, waiting for delivery data to improve and the stock price to consolidate at a low level before considering buying on dips.
"Ng Lai Yin: US interest rates have a more indirect impact on Hong Kong stocks"
The half-day trend of Hong Kong stocks was soft, turning down 64 points after opening higher. Kenny Ng Lai Yin, a securities strategist at Everbright Securities, told ET Net News Agency that the Hong Kong stock market is currently in the earnings reporting season, but the results of major enterprises lack surprises, making it difficult to inject upward momentum into the broader market. Coupled with Alibaba's (09988) historical massive share placement yesterday, which triggered market concerns over a potential fundraising wave by Mainland China tech enterprises, selling pressure is expected to persist in the near term. The HSI is basically expected to maintain a range-bound market pattern before the end of August, hovering between 25,000 and 26,000.
Global markets will welcome several heavyweight news items this week, including US PCE inflation data and Kevin Warsh's appearance at the Jackson Hole Symposium. Ng Lai Yin pointed out that although interest rate trends remain the current focus of global markets, Hong Kong's interest rate environment is different from that of the US, and the impact on Hong Kong stocks is relatively indirect. He explained that although the Hong Kong banking sector refers to the US when determining interest rates, based on past experience, local banks' prime rates have repeatedly failed to fully follow the magnitude of US adjustments. Therefore, the US interest rate trend can serve as a reference, but it may not directly dominate the future direction of Hong Kong stocks.
"XPeng has a higher chance of bottom consolidation"
XPeng's (09868) second-quarter adjusted net loss widened year-on-year to RMB 1.237 billion, compared to RMB 385 million in the same period last year, with the loss magnitude greater than the market expectation of RMB 767 million. No interim dividend was declared. During the period, revenue increased by 8% year-on-year to RMB 19.744 billion, falling short of market expectations; while the gross profit margin rose by 3.4 percentage points year-on-year to 20.7%, beating expectations. In addition, XPeng expects third-quarter vehicle deliveries to range between 115,000 and 121,000 units, representing a year-on-year change ranging from a decline of 0.87% to an increase of 4.3%. XPeng plunged 9.7% at midday to report at HKD 43.04.
Ng Lai Yin stated that the sluggish market conditions in the new energy vehicle market are nothing new. Under the condition of falling delivery volumes, gross margin coming under pressure is a normal phenomenon. Coupled with the generally weaker sales performance of automakers in the industry in the first half of this year compared to last year, competition in the second half is expected to become even more intense, and industry fundamentals may further deteriorate.
However, since the market has long generally expected the new energy vehicle market conditions to be weak, XPeng's less-than-ideal performance this time is also within expectations, and it is expected that subsequent selling pressure will not be too large. The chance of the stock price consolidating at a low level in the near term is relatively high. XPeng also possesses certain advantages in the market, with a relatively large variety of SUV models under its brand. If third-quarter delivery volumes can at least reach the company's guidance, it will help stabilize the stock price.
Although XPeng is recently at a low level, Ng Lai Yin reminded that deployment should remain on the sidelines first, waiting for delivery data to improve and the stock price to consolidate at a low level before considering buying on dips.
