Hang Seng Index continues to rebound, institutions say Hong Kong stocks may see demand for global fund reallocation.
Recently, the overall Hong Kong stock market has shown a rebound trend. According to Wind data, as of the close on May 6th, the Hang Seng Index has risen for four consecutive trading days, accumulating more than 14% since April 8th. From a fund perspective, on May 6th, there was a significant net inflow of southbound funds into the Hong Kong stock market, with the net inflow amount exceeding 10 billion Hong Kong dollars again; in the one-week period ending on April 30th, the speed of active foreign capital net outflow from Hong Kong stocks and ADRs, as calculated by EPFR, slowed down compared to the previous week and continued to slow down for three consecutive weeks. Analytical institutions stated that overseas liquidity may be "easily loose but difficult to tighten" in the short term, which may limit the Hong Kong stock market, and there may be limited demand for global capital reallocation in the Hong Kong stock market.
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