Hold Seng Index Information: Commerce Progress, Information Drive Positive factors – Weekly Recap…

• Decrease minimal downpayment ratio for second properties.
• Increased most mortgage for second properties.
• No restrictions on residence purchases for eligible households exterior the fifth ring.

Tech Sector Recovers, EV Makers See Combined Outcomes

Tech giants Baidu (9888) and Tencent (0700) rose zero.18% and four.15%, respectively, driving the Hold Seng Tech Index up 1.17%.

Nonetheless, electrical car (EV) shares posted blended performances. BYD (1211) and Li Auto (2015) slid four.three% and three.98%, respectively, whereas Geely Auto (0175) gained four.25%.

Retail gross sales of passenger vehicles slid by 12.four% month-on-month in July, whereas NEV retail gross sales fell 11.2%, weighing on sentiment.

Financial Information Beats Forecasts, Commerce Information Wows

The S&P International China Basic Providers PMI elevated from 50.6 in June to 52.6 in July. New work rose on the quickest tempo in a yr, with exterior demand rising for the primary time in three months. July’s numbers confirmed Beijing’s insurance policies focusing on home demand gained traction.

Commerce information additionally impressed, lifting demand for HK and Mainland-listed shares. Exports surged 7.2% year-on-year in July, accelerating from June’s 5.eight% rise. Imports jumped four.1% after rising 1.1% in June. July’s numbers signaled strong demand for Chinese language items regardless of US tariffs on shipments.

Hold Seng Faces Key Check Between 24,500 Assist and 25,500 Resistance

The Hold Seng Index briefly fell beneath the essential 24,500 assist stage earlier than recovering. China’s financial information despatched the Hold Seng Index above the essential 25,000 resistance stage earlier than retreating. Regardless of the late pullback from weekly highs, the Index remained above the 50-day Exponential Transferring Common (EMA), indicating a bullish bias.

Progress towards a US-China commerce deal, upbeat incoming Chinese language financial information, and stimulus measures from Beijing might carry sentiment. A breakout above final week’s excessive of 25,115 might pave the best way towards the July 24 excessive of 25,736 and probably 26,000.

Conversely, renewed US-China commerce tensions and the absence of stimulus might push the Index towards the 24,500 stage. If damaged, the bears could goal the 50-day EMA.