HK Stock Market Move | Hong Kong bank stocks collectively rebound, STANCHART (02888) surged over 6% in early trading, HSBC HOLDINGS (00005) also rose over 5% now.

Hong Kong bank stocks collectively rebounded, as of the time of writing, STANCHART (02888) rose 5.63% to 172.7 Hong Kong dollars; HSBC HOLDINGS (00005) rose 5% to 136.5 Hong Kong dollars; DAHSING BANKING (02356) rose 2.74% to 12.76 Hong Kong dollars; BANK OF E ASIA (00023) rose 2.45% to 13.8 Hong Kong dollars. On the news front, Trump posted on social media platform agreeing to suspend bombing and attack actions against Iran for two weeks. The White House indicated that Israel also agreed to a temporary ceasefire, while Iran stated that it will engage in two weeks of negotiations with the United States. Previously, J.P. Morgan stated that HSBC and Standard Chartered Bank have the largest exposure to risk in the Middle East among European banks, with the region contributing 4% and 12% to the pre-tax profits of these two banks, respectively. China Securities Co., Ltd. previously pointed out that neither private credit risk nor Middle East geopolitical conflicts will have a significant impact on the fundamentals of global systematically important banks (G-SIBs) in the short term. However, a series of potential risk events resonance leading to a global economic recession is the core concern in the current market, which has also caused recent fluctuations in the stock prices of overseas banking sectors. However, before a global economic recession is seen, the stock price declines caused by short-term risk events disruption are expected to gradually recover following strong performance and positive guidance, presenting a buying opportunity.