＜Research＞CCBI Expects HSI to Oscillate Between 17,500 - 18,000 in Short Term; Rebound May Restart in 3Q

　　CCBI released its HK Equity Strategy Data Monitor report for June, noting that the Hong Kong stock market has retreated over the past month, with HSI, HSCEi and HSTECH falling 2-3%.

　　Month-to-date, IT, energy and utilities were the best performers, rising 1-3%, while property and construction, consumer staples, raw materials and consumer discretionary were the worst performers, declining 4-6%. Based on relative rotation graph analysis, energy and raw materials are the leading sectors that continue to strengthen. Information technology is losing momentum in the near term, while utilities continue to strengthen and are poised to enter the leaders quadrant.

　　Shorts are gathering strength. The number of short-sold shares and the average short-selling turnover as a percentage of the total turnover of HSI constituents have both been on the rise in the last month.

　　Among the active stocks on the Shanghai-Shenzhen-Hong Kong Stock Connect, banks continue to be favoured. CHINA MOBILE (00941.HK) +2.050 (+2.733%) Short selling $166.77M; Ratio 7.705% received the most net purchasing among Southbound trading in the past month, with its share price elevating 1%. TRACKER FUND (02800.HK) +0.070 (+0.386%) Short selling $1.19B; Ratio 32.811% received the most net selling in the past month, with its shares dropping 2%.

　　CCBI commented that the market has been on a downtrend over the past month and is waiting for a policy catalyst, suggesting that consolidation may continue but there is still room for incremental policies. The Lujiazui Forum and the upcoming Third Plenary Session of the 20th CCP Central Committee from 15 July may have a catalytic effect. The broker believed HSI may oscillate between 17,500 and 18,000 in the short term, with a rebound expected in 3Q24.

　　(HK stocks quote is delayed for at least 15 mins.Short Selling Data as at 2024-06-27 16:25.)

　　AAStocks Financial News