Track the latest dynamics of southbound capital flows.
Specifically, there was a net purchase of Tracker Fund of Hong Kong (盈富基金) worth HKD 4.075 billion, HKD 1.289 billion for Hang Seng China Enterprises Index ETF, HKD 912 million for China Mobile, HKD 764 million for CNOOC, HKD 618 million for Pop Mart, HKD 615 million for Yangtze Optical Fibre and Cable, HKD 486 million for CSOP Hang Seng Tech Index ETF, HKD 245 million for Xiaomi Group-W, HKD 190 million for Alibaba-W, and HKD 154 million for Tencent Holdings.
In contrast, there was a net sell-off of Cambridge Technology worth HKD 120 million.
Statistics show that southbound capital has consecutively made net purchases of CNOOC for six days, totaling HKD 2.05757 billion, and Pop Mart for four consecutive days, reaching HKD 2.00078 billion.
Key stocks monitored by southbound capital
China Mobile: For the first time, China Mobile explicitly divided its core business into three segments in its financial report – communication services, computing power services, and intelligent services. Revenue from computing power services reached RMB 89.8 billion, representing an 11.1% year-on-year increase, and was identified as ‘a key growth driver for high-quality development.’
CNOOC: On April 16, Jihad Azour, Director of the IMF’s Middle East and Central Asia Department, stated that conflicts in the Middle East have disrupted energy markets, trade routes, and business confidence. Approximately one-fifth of global oil shipments and substantial liquefied natural gas transportation pass through the Strait of Hormuz, which is now almost at a standstill. Attacks and precautionary production halts have reduced output of oil and natural gas.
Pop Mart: Bank of America Securities noted that Pop Mart will release its first-quarter operational update in mid-May. Revenue during this period is expected to grow by approximately 80% year-on-year, surpassing market expectations of 50% to 100%.
Yangtze Optical Fibre and Cable: Goldman Sachs expressed optimism about the optical communications network sector due to the evolution of data center architecture from horizontal to vertical, driving higher bandwidth and connectivity demands, significantly expanding the overall addressable market.
Xiaomi Group-W: On April 17, Lei Jun embarked on a live-streamed challenge to drive the new-generation SU7 Pro from Beijing to Shanghai, covering 1,265 kilometers with only one charge. The challenge is expected to last 15 hours. During the broadcast, Lei Jun stated that Xiaomi Auto aims to become one of the top five automakers globally and to promote the development of China’s automotive industry. In response to a viewer’s question asking whether Xiaomi plans to launch models priced below RMB 100,000, he replied that Xiaomi would not develop vehicles under RMB 100,000 in the coming years. This is because achieving advanced intelligent capabilities in electric vehicles requires higher costs, making it difficult to keep prices below RMB 100,000.
