HK Stock Market Move | Inflation and AI valuation bubble concerns hit AI hardware; YOFC (06869) drops over 10%, Montage Technology (06809) falls over 9%.

AI hardware stocks fell across the board. As of press time, YOFC (06869) dropped 10.69% to HK$126.1; Montage Technology (06809) fell 8.89% to HK$207; KB LAMINATES (01888) declined 8.07% to HK$38.94; Cig Shanghai (06166) dropped 8% to HK$81.6; Zhongji Innolight (03308) fell 5.78% to HK$798.5. On the news front, stronger-than-expected U.S. inflation data combined with concerns over an AI valuation bubble are triggering a new round of shocks across global tech stocks. U.S. September CPI rose 3.7% year-on-year, while core CPI climbed to 2.6%, both exceeding expectations. Following the data release, market bets on a Fed rate hike in October briefly rose to 50%. In addition, CoreWeave bond yields broke above 15%, with prices falling below 80% of face value, sparking concerns about financing costs for AI infrastructure. Goldman Sachs predicts that hyperscaler capex growth will peak at 116% year-on-year in the third quarter of 2026, then slow to just over 20% by the end of 2027. It is worth noting that recently, there have been persistent rumors of overseas restrictions concerning the AI hardware supply chain, including optical modules and PCBs. It is understood that the rumored FCC restrictions on 3.2T optical modules have no formal policy text yet; existing U.S. PCB procurement restrictions mainly target specific defense procurement activities; and the Section 337 investigation is still at the filing stage, with no substantive determination yet on the relevant patent infringement claims.