The Hong Kong Stock Market Has Dropped Significantly, And The Short Term Is Hard To See.

Hong Kong stocks traded at a four month low, and the market was hard to see in the short term.

The Hang Seng index opened 0.47% lower this morning and expanded after the opening. It fell more than 300 points and continued to fall in the afternoon.

At the close, the Hang Seng index was 25128.51 points, down 270.34 points, or 1.06%; the state-owned enterprises index was 11679.02 points, down 155.45 points, and fell 1.31%; the red chip index was 4568.51 points, down 45.01 points, or fell 0.98%.

The turnover of the big city was HK $78 billion 360 million, the lowest in nearly four months since March 27th.

The daily limit is 10 billion 500 million. At the close, the Hong Kong stock pass amount is 9 billion 993 million yuan, which is 507 million yuan.

Huang Guoying, director of abundant financial asset management, believes that the Hang Seng index continues to run on the 25000 level this week, and Hong Kong stocks have little chance of further downtrend, but the short term is still dominated by the pattern.

According to Dongxing securities, the Hong Kong stock market was trading lightly this week, and the paction continued to shrink.

Prior to the expected capital investment in Hong Kong stocks under the southern capital, the main driver is based on

Under the reference, that is, the logic and style of A shares will continue to look for underestimated varieties. As the A share market is down, there will be a bail-out, but the market nerves are fragile.

In the future, Hong Kong stocks will be directly restricted to A shares.

The trend is mainly fluctuation and amplitude.

Therefore, the strong rescue of A shares will alleviate the downward pressure on Hong Kong stocks in the short term. However, the basic factors in the long and medium term support for our judgement of the Hong Kong stock market have not changed. The Greek referendum has rejected the rescue plan, which has further raised the market's concern about the possible role of the Greek government in the debt crisis. The market risk aversion has increased and the Hong Kong stock market turbulence has intensified. Recently, under the influence of Hongkong's political reform plan and the Greek crisis, the Hong Kong stock market funds remained in a net outflow state. Among them, the emerging stocks such as TMT, environmental protection and other emerging markets represented the outflow of small cap stocks that had been promoted by incremental funds.

The Greek crisis led to massive outflows of capital.

The flow of hedge assets such as US debt and gold will have a profound impact on the global capital market, including Hong Kong stocks.

Whether or not the political reform plan has been adopted before has also led to a decline in confidence in Hongkong's importance as an Asian financial centre and in the strategy of RMB internationalization.

From the market style, the Hong Kong stock market outflow of small cap stocks obvious signs, previously in the South under the expected capital from overseas, the mainland and Hongkong local speculative funds to catch up with small and medium-sized targets, especially the emerging plate targets, recently in the impact of capital outflow dropped significantly.

The recent outflow of pressure on Hong Kong stocks is greater. We believe that before the opening of Shenzhen and Hong Kong, the market has more negative factors and greater systemic risks. It is suggested that we should avoid the traditional plates such as low beta medicine, compulsory and optional consumption, etc., and recommend specific targets such as urban beauty, billion wins biotechnology, Lining, modern animal husbandry, maple leaf education, Hai Chang holdings, Chi Mei Group, Shenzhou rentals, etc.