Southbound funds continue to see net inflows, institutions are optimistic about the mid-term outlook of Hong Kong stocks.

Since the beginning of this year, the southbound funds have continued to have a net inflow trend. As of June 2nd, the southbound funds have accumulated a net purchase of over 280 billion Hong Kong dollars. The funds mainly flow into high dividend defense sectors, AI technology growth tracks, and leading hard technology companies such as SMIC. Looking ahead, multiple institutions believe that the internal valuation rotation of Hong Kong stocks is repairing, while the technology market in the external market is spreading. The mid-term market of Hong Kong stocks is worth looking forward to.