HK Stock Market Move | Oil stocks continue to rise, with geopolitical risks in crude oil and the IEA raising its 26-year demand forecast.

Oil stocks continued to rise. As of the time of writing, China Oilfield Services (02883) rose by 5.63% to HK$8.82, CNOOC (00883) rose by 4.55% to HK$23.46, PetroChina (00857) rose by 3.33% to HK$8.70, and Sinopec (00386) rose by 2.94% to HK$5.26. On the news front, tensions in Iran and Cuba have escalated. EB SECURITIES released a research report stating that in the long term, the ongoing global turmoil in geopolitics and the uncertainty of geopolitics are expected to lay the foundation for a prosperous oil price. In addition, the IEA has raised its forecast for oil demand in 2026, expecting a growth of 930,000 barrels per day, higher than the 850,000 barrels per day in 2025, mainly due to the normalization of the global economic situation after last year's tariff turmoil and oil prices being lower than the same period last year. Ping An Securities stated that in the face of volatile international oil prices, domestic oil companies have reduced their sensitivity to oil prices through integrated upstream and downstream layouts. Furthermore, oil companies will seek more diversified sources of crude oil supply in the future, continue to explore overseas resource investment opportunities, gradually improve the development and utilization of domestic resources to ensure stable domestic resource supply. Therefore, it is recommended to focus on oil companies that are actively exploring domestic oil and gas resources, have clear goals for exploration and storage, and have great potential for expanding overseas markets.