Northbound funds | Northbound trading net sold 315 million, Northbound trading increased positions in chips and sold off technology, continued to increase positions in POP MART (09992) by over 500 million Hong Kong dollars.

On June 4th, the Hong Kong stock market saw net sales of 315 million Hong Kong dollars from Northbound investors. Among them, the Shanghai-Hong Kong Stock Connect saw net purchases of 3.933 billion Hong Kong dollars, while the Shenzhen-Hong Kong Stock Connect saw net sales of 4.248 billion Hong Kong dollars. The stocks that Northbound investors bought the most were HUA HONG SEMI (01347), POP MART (09992), and CNOOC (0083). The stocks that Northbound investors sold the most were Tencent (00700) and Alibaba-W (09988). Northbound investors continued to increase their positions in semiconductor stocks. HUA HONG SEMI (01347) and Semiconductor Manufacturing International Corporation (00981) received net purchases of 708 million and 184 million Hong Kong dollars, respectively. In terms of news, Taiwan Semiconductor Manufacturing Company plans to raise prices for its 3-nanometer process later in the second half of the year, with price increases of up to 15%. Prices may further increase by 5% to 10% next year. The second largest semiconductor foundry, UMC, also announced plans to incrementally raise prices, with price increases potentially extending until 2027. According to TrendForce's research, the utilization rate of eight-inch capacity of the top ten global semiconductor foundries has rebounded to nearly 90% in 2026. POP MART (09992) received net purchases of 552 million Hong Kong dollars. In terms of news, Duan Yongping once again increased his holdings in POP MART. As of May 28th, his holdings increased to 81.0316 million shares, with his shareholding ratio rising from 5.69% to 6.04%. With his shareholding ratio further rising to 6.04%, Duan Yongping's position as the second largest shareholder has been further consolidated. CNOOC (00883) received net purchases of 247 million Hong Kong dollars. In terms of news, due to the continued closure of the Strait of Hormuz, global oil supply continues to be disrupted. Data released by the US government on Wednesday showed that last week, total inventories of US crude oil and petroleum products decreased by 106 million barrels to 1.57 billion barrels, the lowest level since 2004. Analysts warn that unless the Strait of Hormuz reopens to oil tankers, oil prices could reach $200 per barrel this summer. GigaDevice Semiconductor Inc. (03986) received net purchases of 206 million Hong Kong dollars. In terms of news, market research firm Counterpoint released a NAND storage market tracking report: Driven by AI demand, the market soared to a record $46 billion in the first quarter of 2026. Specific data shows that in the first quarter of 2026, global NAND flash memory storage market revenue reached $46 billion, a 90% increase from the fourth quarter of 2025, a staggering 246% increase from the first quarter of the previous year, and exceeding the full year of 2023. YOFC (06869) received net purchases of 195 million Hong Kong dollars. In terms of news, Yangtze Optical Fibre And Cable Joint Stock announced that the market has paid high attention to the price fluctuations of optical fibre and cable products and the demand related to data centres. Currently, due to the accelerated construction of data centres at home and abroad, the supply-demand structure of the optical fibre and cable market has improved. However, there is uncertainty in the price fluctuations of some products, and the impact on the company requires comprehensive assessment. Northbound investors sold technology and internet stocks, with Alibaba-W (09988) and Tencent (00700) suffering net sales of 437 million and 521 million Hong Kong dollars, respectively. In terms of news, Tencent sources stated that the timing of the launch of the WeChat AI smart entity cannot be determined at present, and its launch time largely depends on the regulatory progress of the smart entity. With WeChat having a user base of 1.4 billion, compliance procedures may be stricter than other products. Guolian Minsheng Securities previously pointed out that AI commercialization has entered the validation stage, and the focus of competition is shifting from technology and computing power expansion to heavy asset competition focusing on capital expenditure efficiency. Additionally, XIAOMI-W (01810) and 51WORLD (06651) received net purchases of 165 million and 66.35 million Hong Kong dollars, respectively.