The Economic Information Daily reported on the 20th that U.S. stocks faced strong selling pressure last Friday (16th), with the VIX fear index surging to 22 at one point. The Nasdaq closed down more than 2%, the S&P 500 fell over 1%, and the Dow Jones initially rose but later reversed to close lower. Although U.S. stocks rebounded somewhat during yesterday's Hong Kong market holiday, with AI and chip stocks recovering and both the Nasdaq and S&P rising, Hong Kong stocks followed the downward trend upon resumption of trading after the holiday. Semiconductor stocks caught up with the decline, and tech and internet stocks continued to be sold off, with the Hang Seng Tech Index closing at 4046, down 61 points or 1.5%, with only 8 constituent stocks rising.

  The Philadelphia Semiconductor Index halted its eight-day losing streak, closing up 1.6% on Monday (19th). However, AI hardware stocks caught up with the decline: Lenovo Group (00992) fell 6.3% to HK$26.30, leading the decline in the tech index; SMIC (00981) dropped 1.2% to HK$51.75; Hua Hong Semiconductor (01347) fell 0.8% to HK$74.35. However, TianShu ZhiXin (09903) saw its shares turn positive by 2.7% to HK$81.05 after applying to convert 27.65 million unlisted shares into H-shares.

  Reports indicate that the U.S. Department of Homeland Security (DHS) issued a notice requiring the removal of China's artificial intelligence (AI) model DeepSeek and third-party services developed using this model from U.S. federal civilian agencies' information technology systems. Large model stocks were under pressure: MiniMax (00100) fell 4.6% to HK$173.70; Alibaba (09988) dropped 3.6% to HK$104.90; Tencent (00700) declined 2.4% to HK$407.60.

  Auto stocks showed mixed performance: Xiaomi (01810) rose 1.4% to HK$27.02; Li Auto (02015) gained 1% to HK$45.22; NIO (09866) fell 3.9% to HK$26.32; XPeng (09868) dropped 1.87% to HK$36.76.
 (nw)