HK Stock Market Move | Today, the NBFIs (Non-Banking Financial Institutions) stocks generally fell, with real estate investments accelerating downward. Institutions point out that other data is still in the bottoming phase.

The stocks in the real estate sector fell today. As of the end of the session, GREENTOWN CHINA (03900) fell by 4.78% to 7.37 Hong Kong dollars; SUNAC (01918) fell by 3.85% to 0.75 Hong Kong dollars; R&F PROPERTIES (02777) fell by 1.96% to 0.25 Hong Kong dollars. On the news front, data from the National Bureau of Statistics shows that real estate investment growth rate has dropped to -24.9% year-on-year in May, compared to -20.1% in April. Sales amount/area in May were -9.8% and -14.1% respectively year-on-year, which is much better than investment and construction starts. Guotai Haitong pointed out that the accelerated decline in real estate investment is in line with previous predictions, and other data are still at the bottoming out stage. The situation of continued supply clearance and potential improvement in demand remains unchanged. Guosen, on the other hand, stated that the current discount level of real estate stocks has priced in a pessimistic outlook for future price declines, and the continuous improvement in data has not been reflected in stock prices. If the data can continue to improve, a small amount of short selling could bring significant boosts to the market. Assuming that high-frequency data does not bottom out again in the future, it will become a consensus that housing prices will stop falling, with some cities seeing increases and depreciation pressure clearly decreasing.