HK Stock Market Move | The Heng Seng Index fell by more than 4%, Hua Hong Semiconductor (01347) fell nearly 8%, and Alibaba-W (09988) fell by more than 5%.

The constant index fell by more than 4% at the end of the day. As of the time of writing, among the constituents, BYD ELECTRONIC (00285) fell by 8.86%, to 37.46 Hong Kong dollars; HUA HONG SEMI (01347) fell by 7.73%, to 75.15 Hong Kong dollars; BABA-W (09988) fell by 5.02%, to 153.1 Hong Kong dollars; Tencent (00700) fell by 2.42%, to 605 Hong Kong dollars. On the news front, the escalating regional bank credit crisis dragged down the overnight US stock market, leading to a general fall in Asia-Pacific stock markets today. According to reports, two regional banks in the United States recently disclosed loan problems, accumulating potential losses of tens of millions of US dollars, triggering concerns about the further deterioration of bank credit quality and asset transparency in the market. Some analysts believe that the recent unfavorable trade environment is not conducive to valuation deductions, and many stocks that had a large increase before are now facing the problem of valuation regression. In addition, the regional bank events in the United States have caused a major drop in the US stock market, which has a significant impact on the global market, and the market expects a repeat of the Silicon Valley bank events. ED Securities pointed out that although the trade dispute has led to the withdrawal of some funds with high sensitivity to risk, the overall stability of the Hong Kong stock market is different. The continued inflow of Southbound funds and the anticipated significant rate cut by the Federal Reserve have greatly improved the liquidity of the Hong Kong stock market. In addition, the structural rebound in profits has become the main DRIVER of the Hong Kong stock market, and the market expects that the profit growth rate of the Chinese stock index next year will reach double digits.