HK Stock Market Move | Airline stocks rebound collectively as Trump sends out signals of easing tensions; Institutions point out that overseas oil prices are dropping first.

The aviation stocks collectively rebounded. As of the time of publication, Air China Limited (00753) rose by 5.047% to 4.82 Hong Kong dollars; China Eastern Airlines (00670) rose by 3.68% to 3.66 Hong Kong dollars; China Southern Airlines (01055) rose by 3.46% to 3.89 Hong Kong dollars; CATHAY PAC AIR (00293) rose by 2.92% to 12.34 Hong Kong dollars. On the news front, Trump stated on the 20th that if the U.S. and Iran could reach an agreement, he would be willing to wait a few more days for news from the Iranian side. Influenced by this news, on Wednesday, international crude oil futures settlement prices fell sharply by more than 5.5%. UBS predicts that the continued disruption of oil transportation in the Strait of Hormuz will keep Brent crude oil around $100 in the short term. If the situation eases or falls back to around $80. Changjiang pointed out that overseas petroleum prices have already fallen, and it is expected that the cost pressure in China in June will be greatly alleviated. In the short term, the impact of the increase in fuel costs caused by geopolitical conflicts is significant. If the blockade of the Strait of Hormuz ends, expectations for oil prices improve, and there is a large-scale resumption of flights in the Middle East and increased flights on the China-US route, then airline profitability expectations are expected to gradually improve. The preferred Hong Kong stocks are the three major airlines and private airlines in the A-share market.