Northbound funds | Northbound trading volume reached a net buying of 1.89 billion, with technology and internet stocks and domestic bank stocks showing differentiation. Domestic investors sold shares of innovative pharmaceutical concept stocks.

On June 13th, in the Hong Kong stock market, the net purchase of Northbound funds was 189 million Hong Kong dollars, with the Hong Kong Stock Connect (Shanghai) seeing a net sell of 2.789 billion Hong Kong dollars and the Hong Kong Stock Connect (Shenzhen) seeing a net buy of 2.979 billion Hong Kong dollars. The stocks with the highest net purchases by Northbound funds were MEITUAN-W (03690), China Construction Bank Corporation (00939), and SINOPEC SSC (01033). The stocks with the highest net sells by Northbound funds were BABA-W (09988), Tencent (00700), and CNOOC (00883). Active trading stocks in the Hong Kong Stock Connect (Shanghai) - Active trading stocks in the Hong Kong Stock Connect (Shenzhen) - MEITUAN-W (03690) received a net purchase of 1.218 billion Hong Kong dollars. On the news front, on June 10th, Meituan officially launched its first AI Coding Agent product NoCode. This product can automatically complete coding tasks and deployment through multi-round natural language interaction, allowing "0-based" users to create their own websites and software tools through chatting. Tianfeng pointed out that Meituan's core competitive strength lies in its strong merchant base and the accumulation of real user reviews for decades, and its own moat remains solid. In the future, Meituan's core local business profit ability is expected to continue to strengthen, and new business is expected to continue to narrow losses. A differentiation in the Chinese banking stocks, with China Construction Bank Corporation (00939) receiving a net purchase of 405 million Hong Kong dollars, while Bank of China (03988) saw a net sell of 405 million Hong Kong dollars. On the news front, Ping An Securities pointed out that the characteristics of the banking sector attract the attention of insurance funds, partly due to the high dividend value of the sector, and also the strategic significance of the synergy between banks and insurance channels for the expansion of insurance business. The bank pointed out that, combined with the regulatory push for long-term capital entering the market and the improved stock ownership supervision system of commercial banks, we believe that high-quality banks are likely to be the "preferred consideration" for insurance funds, and insurance funds are likely to become a new source of incremental growth for the sector. SINOPEC SSC (01033) and Shandong Molong Petroleum Machinery (00568) received a net purchase of 86.42 million and 45.94 million Hong Kong dollars respectively, while CNOOC (00883) saw a net sell of 919 million Hong Kong dollars. On the news front, according to CCTV News, on June 13th local time, the air force launched air strikes on dozens of targets related to nuclear and other military facilities inside Iran. Stimulated by this news, Brent crude oil rose more than 13% intraday. It is reported that Shandong Molong Petroleum Machinery Co., Ltd. has Latin America as one of its key emerging markets and has obtained certification from the national oil company of Ecuador, Amazon. Meanwhile, SINOPEC SSC is deepening its presence in the Middle East market. POP MART (09992) received a net purchase of 60.66 million Hong Kong dollars. On the news front, Citibank released a research report stating that POP MART's iconic IP continues to gain recognition worldwide, and has successfully launched new products. With more and more companies entering the trendy toy industry, POP MART has unique IP incubation and product development capabilities, and its content-driven marketing strategy and strong new product launch channels should continue to enhance the global recognition of its top IP LABUBU, while other classic IPs will also become new growth drivers. The bank believes that POP MART's diversified IP strategy should lay the foundation for its long-term sustained growth. The launch of new products may also become a short-term catalyst. Northbound funds are selling innovative pharmaceutical stocks. CSPC PHARMA (01093) and INNOVENT BIO (01801) saw net sells of 20.93 million and 394 million Hong Kong dollars respectively. On the news front, Hong Kong biotech companies have recently seen a wave of share placements. Companies such as KEYMED BIO-B, JUNSHI BIO, REMEGEN, BOAN BIOTECH, among others, have announced share placements for fundraising. In addition, a report released by Lyon stated that the innovative pharmaceutical sector significantly rebounded in the first half of the year, mainly due to the strong recovery of market liquidity and a series of unexpected authorization transactions driving it. It is estimated that the continued trading activity in the second half of the year and the steady financial performance of companies will be key focuses for the market. The bank believes that the first-stage valuation recovery of biotech companies has been largely completed. XIAOMI-W (01810) saw a net sell of 764 million Hong Kong dollars. On the news front, Lei Jun stated that Xiaomi's automotive business losses are gradually narrowing, and it is expected to achieve profitability in the third to fourth quarter of 2025. The total budget for YU7's smart driving research and development has reached 3.5 billion yuan, with overall investment at a leading level in the industry. Xiaomi's automotive chip is under development and expected to be launched soon. BABA-W (09988) and Tencent (00700) saw net sells of 3.313 billion and 2.063 billion Hong Kong dollars respectively. On the news front, HSBC previously released a research report stating that market confidence in the AI industry is shaken due to capital expenditures and slower-than-expected growth in cloud revenue. However, with the acceleration of cloud business growth and the gradual integration of AI technology into core business, market confidence is expected to gradually recover. The long-term growth potential of AI is still promising, especially with the push from improved cloud services and user metrics.