A Quiet But Positive End To 2023, Week In Review
sunday review
- Asian stocks are up this week, with the exception of Malaysia and Pakistan looking to end 2023 on a high note.
- Gaming stocks have rebounded this week after suffering a sharp drop last Friday after new restrictions on video games were posted for public comment. It looks like this new policy is about to change.
- This week, China released industrial revenue data for November, showing +30% annual growth, compared to +2.7% in October.
- Internet and electric car stocks rose on Thursday as foreign investors pumped $2 billion into mainland Chinese stocks through Northbound Stock Connect.
friday headlines
Asian stock markets ended the year with little news and little volume, and South Korea closed early for the New Year holidays.
After yesterday's close, the BNK Monetary Policy Committee reaffirmed its support for economic policy through "prudent monetary policy" and a "focus on domestic demand." Mainland China slightly outperformed Hong Kong, although Mainland China shows strong growth (growth vs. decline).
Large-cap growth stocks favored by domestic and foreign investors have outperformed mainland China. The top selling mainland stocks by value were LONGi Green Energy (+0.66%), Seres (+5.86%), Kweichow Moutai (+0.06%) and GoerTek (+10%) due to the relationship selected business. made by apple
Hong Kong managed to make small profits with small volumes. The top selling stock by value was Tencent, which rose 0.20% as the company continued to buy back shares in a shareholder-friendly move. Meituan shares fell -0.55% and Alibaba shares fell -0.33% after JD.com lost an antitrust case.
Baidu advanced 1.04% after announcing that its ChatGPT-like bot ERNIE had surpassed 100 million users at the Wave Summit. We know AI runs the Magnificent Seven, but what about Baidu?
In short, it has been a quiet end to the year.
On behalf of KraneShares, we wish you and your loved ones a Happy New Year. We expect Chinese stocks to emerge from the rabbit hole in 2023 and outperform global stock markets in the Year of the Dragon.
The Hang Seng and Hang Seng Tech indices rose +0.02% and +0.01%, respectively, and volume fell -32% from yesterday, representing 71% of the year's average. In total, 338 stocks increased and 138 stocks decreased. The main rig short float is down -51% from yesterday, which is 45% of the one-year average, as 11% of the float was short float (remember, the Hong Kong short float includes short ETF volume driven by hedging (ETF Market - Creators). Growth and value drivers weakened as small-cap stocks outperformed large-cap stocks. The growth leaders were healthcare (+1.59%), utilities (+1.48%) and real estate (+1.03%). Meanwhile, the worst performers were technology, which lost 1.6%, consumer staples -0.02% and materials, which were unchanged. The subsectors with the best results are food, home and medical equipment. Meanwhile, the technical equipment, semiconductor and retail subsectors were among the worst performing subsectors. Southbound Stock Connect volume was light as Chinese investors bought $240 million worth of Hong Kong stocks and ETFs, including Tencent, China Mobile and CNOOC. However, Meituan, Semiconductor Manufacturing (SMIC), and Xiaomi reported limited net sales.
Shanghai, Shenzhen and STAR Board rose +0.68%, +1.13% and +0.19% respectively, while volumes fell -7% compared to yesterday, representing 95% of the annual average. In total, 4,057 stocks increased and 804 decreased. Growth factors and large caps outperform value factors and small caps. The growth leaders were communication services - +2.07%, technologies - +1.26%, health services - +0.86% growth. Meanwhile, real estate was the only negative sector with a drop of -0.27%. The subsectors with the best results are electronic components, Internet and cultural media. At the same time, the shipping, airports and real estate subsectors are among the worst performers. Northbound Stock Connect saw light/moderate volume as foreign investors sold $79 million worth of mainland Chinese stocks. However, Sokon, LONGi and Wuliangye made moderate net purchases. O-Film, Changan Auto and Wanhua report limited net sales. Treasures rise, while copper and steel fall.
yesterday's program
Rates, prices and results last night
- The CNY is at 7.14 against the US dollar, up from 7.14 yesterday.
- The CNY is at 7.88 per euro, compared to 7.86 yesterday.
- The overnight yield on state bonds was 1.45% compared to 1.13% yesterday.
- The 10-year government bond yield is 2.56%, up from 2.57% yesterday
- The yield on the China Development Bank's 10-year bond was 2.69%, up from 2.70% yesterday.
- Copper prices -0.76%
- Steel prices -0.17%
