[ET Net News Agency, 14 July 2025] The General Administration of Customs in Mainland
China released June import and export data that surpassed expectations. However, the
market remains watchful ahead of a series of economic data releases on Tuesday, including
second-quarter GDP. As a result, Hong Kong stocks showed a mixed performance. The Hang
Seng Index closed the morning at 24,166, up 26 points or 0.1%, with main board turnover
exceeding HKD 119.7 billion. The Hang Seng China Enterprises Index stood at 8,718, up 30
points or 0.4%. The Hang Seng Tech Index was at 5,258, up 10 points or 0.2%.

"Kwok Ka Yiu: No major downside factors for Hong Kong stocks at present"

Following a sharp rise and subsequent pullback last Friday, and with US tariff policy
tightening again, the Hang Seng Index moved within a very narrow range in the morning,
with a swing of only around 100 points. Addressing the sharp retreat after last Friday's
rally, Kwok Ka Yiu, the Director of Business Development at Harbour Family Office, told ET
Net News Agency that the HSI has remained near its highs, so some profit-taking after a
surge to this year's peak is not surprising. With the market now entering earnings season,
there are no new catalysts for the HSI to challenge the 25,000 level. He expects the index
to fluctuate between 23,500 and 24,500 in the short to medium term.
Kwok also noted that Laopu Gold (06181) and other previously hot new consumption stocks
saw some pullback last week. It remains to be seen whether this signals shrinking risk
appetite in the market. However, there has not yet been any significant increase in
selling pressure on these stocks, so it is too early to draw conclusions. For now, he does
not see any major negative factors that would trigger a sharp decline in Hong Kong stocks.

"NIO gets a boost from new model launch, but deliveries still need to improve"

Last week, NIO (09866) launched its new vehicle, the ONVO L90, and began presales, with
a starting price of RMB 279,900. If buyers opt to rent the battery, the price can be
reduced to RMB 193,900. The market is optimistic that NIO's new pricing strategy will
boost sales, and the share price has risen for several consecutive days, climbing more
than 10% this morning to hit a two-month high. Kwok Ka Yiu said the new strategy has
successfully attracted market attention, and if NIO can tie customers in with battery
rentals, it may increase brand loyalty and future sales, supporting the recent share price
rally.
He added that NIO has long been a laggard among the new-energy vehicle players, but the
recent positive developments have lifted the share price. However, the key will be monthly
sales figures. He believes NIO will need to raise its monthly deliveries from the current
level of about 20,000 units to above 50,000 to truly compete with leading peers again.
With the interim results season approaching and fierce competition in the sector, Kwok
expects XPeng (09868) could be the dark horse, as its monthly deliveries have been strong
in recent months. The recent pullback in XPeng's share price could provide an opportunity
for a rally on positive results expectations.