HK Stock Market Move | YOFC (06869) defies the trend to rise more than 3%, verifying the high prosperity of the bidding price for fiber optic cables accelerating upwards.

YOFC(06869) rose against the trend by more than 3%, rising by 2.78% as of the time of publication, to 162.6 Hong Kong dollars, with a turnover of 23.81 billion Hong Kong dollars. On the news front, according to the Science and Technology Board Daily, the Guangdong Telecom Fiber Optic Cable bidding project has experienced multiple twists and turns such as suspension, resumption, failure, and restart, with some bidding prices doubling in just two months. On March 12, Guangdong Telecom issued a re-bidding announcement for the introduction of fiber optic cable and outdoor fiber optic cable emergency procurement projects. The price limit for the "GYTA-single mode G.652D-24 core" fiber optic cable is set at 2500 yuan/PI Long kilometers, an increase of 100% from the initial price of 1245 yuan/PI Long kilometers in the same batch in January 2026. Open Source Securities recently pointed out that from the extent and pace of price increases, the increase in prices since New Year's Day has exceeded the historical cyclical fluctuation range, indicating that the current situation is not a seasonal or regular cyclical adjustment, but a "quantity-price rise" market driven by explosive growth in demand and supply-side capacity constraints. The bank believes that the "AIDC construction, DCI interconnection, and drone demand" have formed a triple resonance of fiber optic demand. From the supply side, fiber optic rods have characteristics such as long production cycle and difficulty in expanding production capacity, leading to a situation of supply falling short of demand or even continuing, and fiber optic prices may continue to rise.