HK Stock Market Move | CRO concept stocks take the lead in gains, institutions say that future performance recovery is worth looking forward to, and there is a demand for cost reduction in research and development for innovative drugs listed in the United States.

Concept stocks of CRO performed well, as of the time of publication, WUXI XDC (02268) rose by 11.29% to HK$27.6; WuXi AppTec (02359) fell by 4.07% to HK$58.8; WUXI BIO (02269) rose by 3.09% to HK$17.34; Hangzhou Tigermed Consulting (03347) rose by 3.05% to HK$38.9. Industrial sector pointed out that although most companies in the CXO sector still face certain pressure on performance in the 2024 interim report, some companies have begun to see recovery in orders. Combined with the third-quarter report, the current trend of order recovery shows sustainability. The improvement in orders preliminarily reflects the recovery of industry prosperity, which will gradually performance. The future performance recovery of CXO is worth looking forward to. On the other hand, in terms of investment and financing data, overseas data has shown improvement this year, and in the subsequent interest rate reduction cycle and new product cycle, it can be expected that industry demand will gradually warm up; domestic data has not yet shown improvement and is still in a low range, so the recovery in the future is worth looking forward to. EB SECURITIES pointed out that during the Trump 1.0 era, the attempt to overturn the "Affordable Care Act" passed during the Obama era was unsuccessful. As the Obama healthcare reform originated from the perspective of grassroots people and concerns the voting base of grassroots people, it is difficult for the Trump 2.0 era to reverse the implementation of the American version of "universal healthcare" unless they find better reasons. Currently, to reduce the federal government's financial burden of implementing universal healthcare, reducing the cost of prescription drugs is one of the relatively feasible directions. Lowering drug prices will increase the demand for cost reduction in innovative drug research and development for companies listing in the US, such as WuXi AppTec, Pharmaron Beijing, Asymchem Laboratories, which have cost and efficiency advantages.