Hang Seng Biotech Index: The Hang Seng Biotech Index has rebounded steadily since mid-June, and corporate repurchases have increased markedly

The Zhitong Finance App learned that the Hang Seng Index's latest report said that the Hang Seng Biotech Index hit this year's high on January 14 and then entered an adjustment range. The index has declined markedly since May. It is believed that the artificial intelligence boom has mainly taken away capital from industries other than AI themes, and geopolitical tension is heating up. The index stabilized in mid-June, then began to rebound, rebounding more than 17% from the June low. During this period, the buyback efforts of constituent stock companies increased markedly, providing some support to the market.

As of July 3, 2026, the year-to-date decline in the biotech index narrowed to 2%, outperforming the Hang Seng Composite Index, which represents the major Hong Kong stock market. The decline during the period was 11%.

At the same time, Hong Kong-listed healthcare companies significantly stepped up share repurchase efforts during a period of market decline. Over the past year, the overall monthly repurchase amount of healthcare companies remained stable, but as market sales intensified in May of this year, repurchase activity accelerated markedly. In June, the total repurchases of healthcare companies surged 86% month-on-month to HK$4.4 billion, higher than the total amount for the previous five months.

The Hang Seng Biotech Index reflects the overall performance of the top 30 biotech companies that are listed in Hong Kong and are also eligible for Hong Kong Stock Connect. In the face of poor market conditions, there has also been a marked increase in repurchase initiatives.

According to WIND data, the total repurchase amount of biotech index constituent stocks surged 1372% month-on-month in May, and increased another 117% in June. The June repurchase amount was close to HK$3.6 billion, accounting for 81% of the total repurchases in the healthcare sector, reflecting the determination of index constituent stocks to maintain shareholder value.