Northbound Capital Flow: Northbound capital net purchases reach HKD 7.047 billion. Northbound investors rush to buy Hong Kong stock ETF, purchasing over HKD 2.1 billion of the Tracker Fund of Hong Kong (02800).

On September 7th, the net buying amount of northbound funds in the Hong Kong stock market reached HKD 7.047 billion. Among them, the net buying amount of Shanghai-Hong Kong Stock Connect was HKD 3.959 billion, and the net buying amount of Shenzhen-Hong Kong Stock Connect was HKD 3.088 billion. The stocks with the highest net buying amount by northbound funds are Tracker Fund of Hong Kong (02800), Hang Seng H-Share Index ETF (02828), and SUNAC (01918). Tencent (00700) is the stock with the highest net selling amount by northbound funds. The active trading stocks in Shanghai-Hong Kong Stock Connect include: The active trading stocks in Shenzhen-Hong Kong Stock Connect include: Northbound funds continue to increase their holdings in Hong Kong stock ETFs, with Tracker Fund of Hong Kong (02800), Hang Seng H-Share Index ETF (02828), and CSOP Hang Seng TECH Index ETF (03033) receiving net buying amounts of HKD 2.133 billion, HKD 411 million, and HKD 239 million respectively. In terms of news, Zheshang International pointed out that the performance of Hong Kong stocks in August was poor, significantly lower than the bank's slightly optimistic expectations at the beginning of the month. During this period, the 10-year U.S. Treasury yield hit a new high since 2008, coupled with market pessimism and rapidly deteriorating liquidity. Looking ahead, the bank is cautious about the short-term trend but maintains a relatively optimistic view of the medium and long-term trend. Property stocks received further buying, with SUNAC (01918) and COUNTRY GARDEN (02007) receiving net buying amounts of HKD 387 million and HKD 340 million respectively. Morgan Stanley stated that it expects the sales data of the property market to improve in the next one to two months, coupled with strong easing momentum, and believes that the short-term excitement in the market will continue for some time. Industrial and Commercial Bank of China (01398) received a net buying amount of HKD 267 million. BOC International pointed out that Industrial and Commercial Bank of China's interim performance has marginally improved, with its net profit attributable to shareholders increasing by 1.2% year-on-year, with an improved growth rate compared to the first quarter, showing stable improvement. Under the environment of interest rate cuts and profit concessions, the pressure on interest spreads continued to be squeezed, and the rapid growth in scale supported the narrowing of the decline in interest income, while non-interest income was pressured, affecting slightly lower operating income. The company's asset quality is stable, with improvements in key indicators such as attention and forward-looking indicators for overdue payments, and provisions supporting profit improvement. The company's low valuation and high dividend yield highlight its value, maintaining a "buy" rating. Oil stocks are sought after by domestic investors, with CNOOC (00883) and Sinopec (00857) receiving net buying amounts of HKD 109 million and HKD 95.48 million respectively. Zhongjin stated that as Saudi Arabia and Russia decided to extend the supply tightening plan for 3Q23 to 4Q23 at once, coupled with the approaching peak demand season, we expect the tight supply situation in the oil market to continue within the year. Looking ahead, we suggest that Iranian oil supply may be the key uncertainty factor for the balance of the global oil market within the year. Semiconductor Manufacturing International Corporation (00981) received a net buying amount of HKD 98.02 million. According to an analyst from TF International Securities, excluding potential non-business risks, benefiting from the market demand and influence of Mate60Pro, Huawei's mobile phone shipments this year will increase by 65% year-on-year to 38 million units. It is expected that the shipments will reach at least 60 million units next year. The demand for Huawei Mate60Pro is strong, and he believes that many Chinese manufacturers in the Huawei supply chain, such as Semiconductor Manufacturing International Corporation engaged in wafer foundry, will benefit. In addition, EAST BUY (01797) received a net buying amount of HKD 47.75 million, while Tencent (00700) experienced a net selling amount of HKD 95.65 million.