[ET Net News Agency, 10 February 2026] US equities extended last Friday's rally into Monday, with all three major indices ending higher. Tech shares led the advance, buoyed by positive developments in artificial intelligence, supporting the Dow Jones as it consolidated above the landmark 50,000 level and posted new intraday and closing highs. In Hong Kong, the Hang Seng Index ended the morning session at 27,173, up 146 points, or 0.5%, on turnover exceeding HKD 133.8 billion. The Hang Seng China Enterprises Index gained 71 points, or 0.8%, to 9,239, while the Hang Seng Tech Index climbed 45 points, or 0.8%, to finish at 5,463.
"Kwok Ka Yiu: Southbound funds reducing exposure ahead of holidays, HSI faces resistance near 27,500"
Benefiting from the improved external sentiment and the Dow's move through 50,000, Hong Kong stocks followed global markets higher, though early gains were pared as the index approached the 27,400 level. Kwok Ka Yiu, the Director of Business Development at Harbour Family Office, told ET Net News Agency that while Hong Kong shares tracked the global uptrend, there was a notable shift to net outflows from southbound funds yesterday. With strong funding demand onshore in the lead-up to the Lunar New Year, and a lack of further market-moving developments recently, investors have been taking profits after the recent rally. The longer holiday period on the Mainland China this year has also encouraged institutional investors to lighten positions before the break, which is capping short-term gains on the HSI. Kwok expects resistance around the 27,500 level, and does not anticipate major new policy measures ahead of the holiday, seeing HSI gains as staying limited in the near term.
"Growing Incentives for Sino-foreign pharma partnerships, more collaborations expected"
Innovent Bio (01801) recently announced a strategic partnership with Eli Lilly to advance global development of innovative cancer and immunology treatments, receiving a USD 350 million upfront payment and up to USD 8.5 billion in milestone payments. The market sees this not only as backing for the export licensing capabilities of Chinese pharma firms but also as a signal of potential for deeper strategic cooperation with global pharmaceutical giants, sharply boosting sentiment in the sector, with the biotech index spiking more than 3.7% at midday.
Kwok commented that the deep collaboration between Innovent and Lilly reflects foreign companies' recognition of the R&D strengths and technological capabilities of Chinese pharmaceutical firms, and expects more such partnerships to emerge going forward. He pointed out that both sides have clear incentives, Chinese firms can leverage global partners' sales networks to accelerate and expand their overseas business, while foreign multinationals can reduce R&D risks by partnering with proven Chinese innovators and accelerate product launches, creating a clear win-win dynamic.
With these positive expectations, Kwok believes Innovent Bio is likely to maintain strong trading interest in the short term, with a recovery above the HKD 100 well within reach. However, whether the rally can be sustained will depend on whether upcoming earnings meet or exceed market expectations.
"Kwok Ka Yiu: Southbound funds reducing exposure ahead of holidays, HSI faces resistance near 27,500"
Benefiting from the improved external sentiment and the Dow's move through 50,000, Hong Kong stocks followed global markets higher, though early gains were pared as the index approached the 27,400 level. Kwok Ka Yiu, the Director of Business Development at Harbour Family Office, told ET Net News Agency that while Hong Kong shares tracked the global uptrend, there was a notable shift to net outflows from southbound funds yesterday. With strong funding demand onshore in the lead-up to the Lunar New Year, and a lack of further market-moving developments recently, investors have been taking profits after the recent rally. The longer holiday period on the Mainland China this year has also encouraged institutional investors to lighten positions before the break, which is capping short-term gains on the HSI. Kwok expects resistance around the 27,500 level, and does not anticipate major new policy measures ahead of the holiday, seeing HSI gains as staying limited in the near term.
"Growing Incentives for Sino-foreign pharma partnerships, more collaborations expected"
Innovent Bio (01801) recently announced a strategic partnership with Eli Lilly to advance global development of innovative cancer and immunology treatments, receiving a USD 350 million upfront payment and up to USD 8.5 billion in milestone payments. The market sees this not only as backing for the export licensing capabilities of Chinese pharma firms but also as a signal of potential for deeper strategic cooperation with global pharmaceutical giants, sharply boosting sentiment in the sector, with the biotech index spiking more than 3.7% at midday.
Kwok commented that the deep collaboration between Innovent and Lilly reflects foreign companies' recognition of the R&D strengths and technological capabilities of Chinese pharmaceutical firms, and expects more such partnerships to emerge going forward. He pointed out that both sides have clear incentives, Chinese firms can leverage global partners' sales networks to accelerate and expand their overseas business, while foreign multinationals can reduce R&D risks by partnering with proven Chinese innovators and accelerate product launches, creating a clear win-win dynamic.
With these positive expectations, Kwok believes Innovent Bio is likely to maintain strong trading interest in the short term, with a recovery above the HKD 100 well within reach. However, whether the rally can be sustained will depend on whether upcoming earnings meet or exceed market expectations.