Hong Kong stocks rose on Wednesday on renewed optimism about China’s tech industry prospects, while investors awaited global AI chip leader Nvidia’s earnings.
The Hang Seng Index gained about 0.1 per cent to 25,541.43 at noon, rebounding from a 1.2 per cent loss in the previous session. The Hang Seng Tech Index climbed 0.6 per cent. On the mainland, the CSI 300 Index rose 0.7 per cent and the Shanghai Composite Index advanced 0.3 per cent.
Xiaomi rose 0.9 per cent to HK$54 after Moody’s upgraded its rating due to robust growth and profitability in its electric vehicle (EV) and IoT smart hardware businesses. Hong Kong-headquartered AI firm SenseTime surged 11.5 per cent to HK$2.13 ahead of its earnings report on Thursday, while EV maker Nio jumped 6.9 per cent to HK$52.95. Chipmaker SMIC climbed 6.4 per cent to HK$59.80.
E-commerce giant Alibaba Group Holding rose 1.6 per cent to HK$123.20, while Horizon Robotics, which makes AI chips for self-driving cars, added 2.4 per cent to HK$8.07 ahead of its earnings report later on Wednesday.
Bottled water maker Nongfu Spring surged 6.8 per cent to HK$50.15 after first-half profit rose to the highest level since at least 2019, while aluminium producer China Hongqiao rose 2 per cent to HK$25.42.
Chinese AI chipmaker Cambricon Technologies posted a dramatic financial turnaround, achieving a first-half net profit of 1.03 billion yuan (US$144 million) compared with a loss in the previous year. Revenue surged around 44-fold from a year earlier to 2.9 billion yuan, driven by robust domestic demand for AI chips and government support for home-grown technology.
