Hong Kong Stock Market Closing: The Hang Seng Tech Index dropped 2.87%, retracing over 23% from its peak last year, with technology and other major sectors collectively sluggish.

Gelonghui February 26 | Hong Kong stocks’ three major indices opened high and then declined, accelerating lower at the close. Today’s index settlement may intensify market volatility. By the close, the Hang Seng Tech Index plummeted 2.87%, hitting a new low since July last year, down more than 23% from its October high. The Hang Seng Index and the China Enterprises Index fell 1.44% and 2.44%, respectively.

Specifically, large tech stocks, major financials (banks, insurance, securities), and state-owned enterprises all declined collectively, putting significant pressure on the market. Baidu and Kuaishou dropped over 4%, Tencent fell below HKD 520 and hit a new low for the stage. Cathay Haitong, Everbright Securities, China Life, and Minsheng Bank led the industry sectors in decline. The first registration tax reduction for Hong Kong electric private cars, which ends at the end of March, was not extended, causing a sharp drop in auto dealer stocks. Biotech, building materials and cement stocks, gaming stocks, AI application concepts, coal, oil, domestic real estate, photovoltaic, and non-ferrous metals like gold all declined.

On the other hand, there is a significant gap between overseas power supply and demand. Institutions are optimistic about domestic internal combustion engines and related industry chains expanding overseas. Power equipment stocks rose against the trend, with Dongfang Electric surging 15.5% leading the gains. Some previously declining film and television stocks rebounded, and storage concept stocks became active again. (Gelonghui)