Northbound funds | Northbound trading net buying of 6.298 billion, chip stocks show differentiation. Innovent Bio (01801) suffered nearly 200 million Hong Kong dollars in domestic sales.

On January 16, in the Hong Kong Stock Market, Northbound capital saw a net inflow of 6.298 billion Hong Kong dollars, with the Shanghai-Hong Kong Stock Connect seeing a net inflow of 4.813 billion Hong Kong dollars and the Shenzhen-Hong Kong Stock Connect seeing a net inflow of 1.485 billion Hong Kong dollars. The top three stocks with the highest net inflow from Northbound capital were Tencent (00700), Semiconductor Manufacturing International Corporation (00981), and Tracker Fund of Hong Kong (02800). The top three stocks with the highest net outflow from Northbound capital were HUA HONG SEMI (01347), INNOVENT BIO (01801), and China Mobile Limited (00941). Among the active stocks traded through the Shanghai-Hong Kong Stock Connect were Tencent (00700) with a net inflow of 1.361 billion Hong Kong dollars. Analysts from Morgan Stanley expressed positive views on Tencent's prospects for the fourth quarter of the 2024 fiscal year, especially in the gaming sector. In addition, Northbound capital saw an inflow into Semiconductor Manufacturing International Corporation (00981) and Tracker Fund of Hong Kong (02800), while an outflow from HUA HONG SEMI (01347). Furthermore, there were different opinions on chip stocks, with Citic Securities estimating the market space for domestic AI chip manufacturing to be around 300 billion USD. Additionally, Guotai Junan Research believed that there would be continual policy support in 2025 for the Hong Kong stock market. Companies like MEITUAN-W (03690) and BABA-W (09988) also received net inflows of capital, as analysts provided positive assessments of their expansion plans and business strategies. Overall, the Hong Kong stock market saw a mix of inflows and outflows from Northbound capital, with various companies attracting investment while others saw selling pressure.