Hong Kong stocks closed (12.08) | Hang Seng Index closed down 1.23%, and brokerage, chip stocks, etc. reversed the market, Baidu Group - SW (09888) led the blue chip rise
The Zhitong Finance App learned that Hong Kong stocks fell under pressure today, and the Hang Seng Index fell more than 1% and then fell below the 26,000 mark. At the close, the Hang Seng Index fell 1.23% or 319.72 points to 25965.36 points, with a full-day turnover of HK$206.23 billion; the Hang Seng State-owned Enterprises Index fell 1.25% to 9083.53 points; and the Hang Seng Technology Index closed flat to 5662.55 points.
Bank of China International pointed out that investors should maintain their strength and not worry too much about the recent sharp fluctuations in the stock market. It is normal for the stock market to adjust during a bull market, and short-term shocks will not change the upward trend of Hong Kong stocks. Looking ahead to 2026, the bank believes there will be no change in consolidating a steady and positive trend in the capital market.
Blue-chip stock performance
Baidu Group-SW (09888) led the blue chip increase. At the close, it rose 3.45% to HK$125.8, with a turnover of HK$3,041 billion, contributing 8.38 points to the Hang Seng Index. Baidu Group issued an announcement. The company noticed that on December 5, there were media reports that the company plans to split its non-wholly-owned subsidiary Kunlunchip (Beijing) Technology Co., Ltd. for an independent listing. The company would like to clarify that it is currently evaluating the proposed spin-off and listing. If a proposed spin-off and listing is carried out, it will be subject to relevant regulatory approval procedures, and the company does not guarantee that the proposed spin-off and listing will take place.
In terms of other blue-chip stocks, SMIC (00981) rose 2.94% to HK$71.8, contributing 14.49 points to the Hang Seng Index; Ping An (02318) rose 2.15% to HK$61.75, contributing 13.68 points to the Hang Seng Index; CCB (00939) fell 4.01% to HK$7.66, dragging down the Hang Seng Index by 54.39 points; China Merchants Bank (03968) fell 3.54% to HK$51.8, dragging down the Hang Seng Index by 11.63 points.
Popular sector aspects
On the market, large technology stocks generally declined, with Alibaba falling more than 1% and Tencent falling 0.82%. The chairman of the Securities Regulatory Commission proposed appropriate “unbundling” of high-quality institutions; Chinese brokerage stocks rose against the market; optical communication concept stocks rose, with Huaju Technology rising by more than 7%; chip stocks showed active performance, and Huahong Semiconductor rose more than 4%; and lithium battery stocks and some insurance stocks were improving. On the other side, the new medical insurance drug catalogue was announced. Pharmaceutical stocks are opening high and moving low today; the market is waiting for this week's Federal Reserve interest rate meeting. Gold stocks have collectively declined; coal, domestic bank stocks, and new consumer stocks have declined.
1. Chinese brokerage stocks rose against the market. At the close, Huatai Securities (06886) rose 5.17% to HK$19.33; GF Securities (01776) rose 3.1% to HK$17.94; CITIC Construction Investment Securities (06066) rose 2.99% to HK$12.76; and China Merchants Securities (06099) rose 2.82% to HK$15.29.
Wu Qing, chairman of the China Securities Regulatory Commission, said while attending the 8th General Meeting of the China Securities Association that it is necessary to speed up the construction of first-class investment banks and investment institutions. The Securities Regulatory Commission will appropriately “untie” high-quality institutions, further optimize risk control indicators, and moderately open up capital space and leverage restrictions. Cathay Pacific Haitong Securities said that leading brokerage firms are expected to accelerate the development of self-operated market trading, derivatives, institutional business and wealth management in the context of marginal relaxation of capital restrictions, driving the ROE center upward and strengthening the valuation center. Bank of China International believes that the current valuation of the brokerage sector is in a historically low position, and there is room for the valuation center to improve against the backdrop of improving industry sentiment.
2. Optical communication concept stocks are active. At the close, Huiju Technology (01729) rose 7.65% to HK$17.02; Cambridge Technology (06166) rose 5.68% to HK$86.5; and Changfei Optical Fiber Cable (06869) rose 3.59% to HK$36.34.
With the rapid development of artificial intelligence, the communications industry has entered a boom cycle. Huatai Securities previously pointed out that increased investment on the global AI computing power side is expected to drive continued high net profit growth in the optical communications sector; the telecom operator sector's net profit is expected to maintain steady growth; the ICT equipment and IDC sector is expected to continue to benefit from the increase in capital expenses of Internet giants; the copper connectivity sector is expected to continue to release production capacity to meet the increase in net profit; and the demand for hollow fiber, submarine cable, and DCI in optical fiber is worth paying attention to.
3. Lithium stocks are mostly higher. At the close, Ganfeng Lithium (01772) rose 6.95% to HK$51.25; Ningde Times (03750) rose 3.28% to HK$506.5; and Tianqi Lithium (09696) rose 3.16% to HK$48.28.
Huayuan Securities released a research report saying that after entering December, downstream lithium batteries will usher in a low season. Combined with expectations that the Jianxiawo lithium mine will resume production, the short-term conflict between supply and demand for lithium carbonate may ease, and lithium prices may be adjusted under pressure in the short term. Looking ahead to next year, against the backdrop of lithium battery demand growth exceeding expectations, lithium salt has entered a storage cycle, supply and demand for lithium carbonate have reversed, lithium prices are expected to enter an upward cycle driven by demand, and lithium sector companies are expected to usher in an inflection point in profits. Huatai Securities believes that it is optimistic about improving profits in all parts of the lithium battery industry chain to achieve a sharp rise in quantitative profit.
4. Pharmaceutical stocks opened high and moved low. At the close, Pharmaceutical-B (02126) rose 5.52% to HK$3.25; Goley Pharmaceutical-B (01672) rose 4.98% to HK$14.33; on the downside, Rongchang Biotech (09995) fell 10.3% to HK$79.25; and Cinda Biotech (01801) “dyed blue” today, down 6.96% to HK$85.6.
On December 7, the National Health Insurance Administration issued the 2025 “National Basic Medical Insurance, Maternity Insurance and Work Injury Insurance Drug Catalogue” and the 2025 “Commercial Health Insurance Innovative Drug Catalogue”. In 2025, 114 new drugs were successfully added to the national medical insurance drug catalogue. 50 were first-class innovative drugs. The overall success rate was 88%, a significant increase from 76% in 2024. Nineteen drugs were included in the first edition of the Commercial Insurance Innovative Drug Catalogue. Among the 19 drugs included in the first edition of the commercial insurance innovative drug catalogue, they include cancer treatment drugs such as CAR-T, drugs to treat rare diseases such as neuroblastoma and Gaucher disease, and drugs to treat Alzheimer's disease.
Popular exotic stocks
1. The two IPOs were listed today and closed. Zhuoyue Ruixin (02687) rose 87.26% to 126.4 HKD; Nanochip (02676) fell 4.31% to HK$111.
Zhuoyue Ruixin is a digital solution provider for teaching in higher education institutions. The company was founded in 2008 and launched the brand “Wisdom Tree” in 2013. According to Frost & Sullivan, in terms of 2024 revenue, Zhuoyue Ruixin ranked second in revenue in China's digital higher education teaching market, with a market share of 4.0%. According to the prospectus, Nanochip operates in a fabless model, focusing on chip development and design, while outsourcing wafer manufacturing to external fabs and most packaging testing service providers.
2. Reshape Energy (02570) was lifted after one year of listing and closed, down 27.33% to HK$84.95.
On December 8, Reshape Energy ushered in its first trading day after one year of listing. According to previous announcements, the last day of the ban period for investors and current shareholders before the initial public sale is December 5, 2025. According to the data, a total of 55 shareholders of Reshape Energy have been lifted, and the total number of shares unbanned reached 54.213,600.
3. Yinnuo Pharmaceutical-B (02591) stock price rebounded and closed down 14.32% to HK$37.7.
The Shanghai Stock Exchange and Shenzhen Stock Exchange issued an announcement stating that due to the implementation of component stock adjustments in the Hang Seng Composite Mid-Cap Index, the Hong Kong Stock Exchange list was adjusted in accordance with relevant regulations, and Yinnuo Pharmaceuticals will be transferred to the Hong Kong Stock Connect with effect from December 8, 2025. In addition, the ultra-long-acting GLP-1 receptor agonist esupaglutide α (InnoLight®) independently developed by the company was officially included in the 2025 national medical insurance drug catalogue and will be implemented simultaneously with the new catalogue starting January 1, 2026.
4. Suteng Juchuang (02498) performed well, rising 5.23% to HK$34.58 at the close.
Suteng Juchuang announced that it has obtained a new target for front-loading mass production of a well-known and best-selling model from FAW Toyota, with a cumulative order volume of nearly one million units over five years. After receiving an exclusive designation for a pure electric model from FAW Toyota for three years, Sagitengjuchuang once again reached a new partnership with FAW Toyota for another major model using leading digital lidar technology.