Global Markets Overview
On Monday, European markets rebounded as US-EU trade tensions showed signs of easing. Tariff-sensitive auto stocks led the gains, and the euro strengthened, hitting its highest level in a month.
US stock markets were closed in observance of Memorial Day, but as of press time, US stock index futures were up nearly 1% across the board heading into Tuesday.
“The stock market seems to be dancing to Trump’s rhythm—threats followed by pullbacks, then swift rebounds,” analysts noted.
“Speculators are betting that Trump will eventually back off, and this time that playbook was confirmed again. The so-called ‘Trump model’ is increasingly seen as a winning strategy for aggressive investors.”
US Markets
Markets were closed Monday for Memorial Day.
Hong Kong Markets Highlights
Hong Kong’s three major indexes opened higher but later pulled back.
Sector highlights:
- Tech stocks mixed:
- JD.com -3%+
- Xiaomi -1%+
- NetEase +2%
- CXO (biotech outsourcing) stocks surged: Viva Biotech +7%+
- Auto stocks continued to fall: Joy Spreader Group -7%
- IPO debut: Jihong Co. jumped over 60% intraday on its first trading day
Mixue Group Rallies:
Mixue Group surged over 8% by midday, leading gains across the tea beverage sector, including ChaBaiDao and GuMing.
According to a recent Daiwa report, analysts are bullish on Mixue’s growth outlook, citing:
- Its unique economies of scale
- Leading market share in China’s mass beverage segment
- Strong international expansion potential
Daiwa also noted that food delivery platform competition in April likely boosted same-store sales, projecting 10%+ YoY growth and supporting recent price targets.
Hong Kong Market – Technical Analysis
Hong Kong Market Close
- Hang Seng Index -0.18% → 23,241.23
- Hang Seng Tech Index -0.58% → 5,127.78
- China Enterprises Index -0.30% → 8,412.10
A-Share Markets (Midday) Highlights
All three major mainland indexes fell in the morning session.
- Market turnover: ¥626 billion, down ¥34.9 billion from the previous day
- Decliners: Over 3,500 stocks were in the red
Top Sectors:
- Beverage manufacturing, lab-grown diamonds, and IP licensing
- Top gainers included: Chuangyuan, Ketuo Bio, Youyou Foods, Anglee, Mingpai Jewelry, Leshare
- All hit limit-up
- Unmanned delivery vehicles remained active:
- Kejie Intelligence, Yunnei Power, Tongda Electric hit limit-up
- Pharma stocks strong:
- Huashen Pharma hit limit-up
- 3SBio +15%+
Weak Sectors:
- Robotics led the declines:
- Jiangsu Leili, Greene Harmonic posted the largest losses
China Market – Technical Analysis
Mainland Market Midday Snapshot
- Shanghai Composite -0.33% → 3,335.76
- Shenzhen Component -0.87% → 10,002.93
- ChiNext Index -0.98% → 1,985.53
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