Oct 29 Asia closes mainly lower but China +VE as Team China Window dresses.

29 Oct

This and previous notes can be found at Substack ( Asian Market Sense )
Check out ERI-C.com  for your research needs

HSI -179pts (-0.7%) 25,377 HSCEI -91pts (-1%) 8,962 T/O HK$126.26bn (-2.4% DoD)  

HK/CHINA Connect Flows
Northbound Rmb 62,151m Sell 29,443m vs 32,708m Buy
Southbound HK$ 12,379m Sell 5,644m vs 6,735m Buy
Northbound Rmb 78,246m Sell 38,386m vs 39,860m Buy
Southbound HK$ 13,699m Sell 7,028m vs 6,671m Buy

Markets opened lower following the Apple/Amazon comments and with a mixed handover from Asia. Plus caution ahead of economic data and more earnings; Daimler, Phillips and BNP Paribas amongst those reporting.  Tech weak but Volvo rallying on its debut.
Ubisoft strong in during early trade after reporting strong Q2 earnings.
Argenx strong on positive financial results.
BBVA and medical technology firm Convatec both added more than 5% by mid-morning. But Signify weak after Q3 earnings fell more than 8% due to supply chain challenges.
Inflation Flash Oct 4.1% YoY vs 3.4% Sept (F/cast was 3.6%)
Inflation Flash Oct 0.8% MoM vs 0.5% Sept (F/cast was 0.4%)
Core Inflation Flash Oct 2.1% YoY vs 1.9% Sept (F/cast was 2%)
GDP Growth Rate Q3 2.2% QoQ vs 2.1% Q2 revised (F/cast was 2%)
GDP Growth Rate Q3 3.7% YoY vs 14.2% Q2 revised (F/cast was 3.7%)
GDP Growth Rate Flash Q3 1.8% QoQ vs 1.9% Q2 revised (F/cast was 2.5%)
GDP Growth Rate Flash Q3 2.5% YoY vs 9.8% Q2 revised (F/cast was 3.2%)
GDP Growth Rate Prelim Q3 3% QoQ vs +1.3% Q2 revised (F/cast was 2.3%)
Household Consumption Sept -0.2% MoM vs +0.7% Aug revised (F/cast was +0.3%)
Inflation Rate Prelim Oct 2.6% YoY vs 2.2% Sept (F/cast was 2.4%)
Inflation Rate Prelim Oct 0.4% MoM vs -0.2% Sept (F/cast was +0.2%)
BoE Consumer Credit Sept £0.2B vs £0.5B Aug revised (F/cast was £0.77B)
Mortgage Approvals Sept 72.6k vs 74.2k Aug revised (F/cast was 71k)
Mortgage Lending Sept £9.5B vs £4.4B Aug revised (F/cast was £5.1B)
Net Lending to Individuals Sept £9.8B MoM vs £5B Aug revised (F/cast was £5.2B)
US Futures
Opened  Dow flat but S&P 500 futures -0.3% and Nasdaq 100 futures -0.6% after Amazon and Apple warnings. Dow futures dropped to -23pts S&P and NDX still -VE
AHEAD Personal Income & Spending, Employment Cost Index, PCE & Core PCE Price Index, Chicago PMI, Michigan Data Final (Consumer Sentiment, 5 yr Inflation Expectations, Consumer Expectations, Current Conditions and Inflation Expectations) and the Baker Hughes data.
Earnings: Chevron, AbbVie, Colgate-Palmolive, Lazard, Booz Allen Hamilton, Weyerhaeuser, Church and Dwight, CBOE Global Markets, Newell Brands, W.W. Grainger, Cerner, Aon, Charter Communications.

CHINA CSI 300 closed +45pts (+0.9%) @ 4,909
CSI 300 opened slightly lower and traded around flat for the first hour before working better in choppy trading but seeing resistance around the 4,880 level. PM market opened higher and worked higher to close at the day high
Looks like ‘Team China’ supporting the market with end of month window dressing as Government expected to to further intervene in coal and fuel pricing. Reports of petrol/diesel rationing not good for social stability going into the winter. But CATL hits a new high on news of a Tesla order.
Concerns over growth, inflation and covid overhang the market.

Shanghai Comp +29pts (+0.8%) @ 3,547 T/O US$77,745m (+8.4% DoD)
Shenzhen Comp +207pts (+1.5%) @ 14,451 T/O US$95,523m (+3.2% DoD)
ChiNext Comp +81pts (+2.4%) @ 3,524

No data due
but on Sunday Manufacturing and Non Manufacturing PMI’s.

Pre market opened @ 25,467 -89pts vs +14pts ADR’s and sold down following the regional weakness on the Apple/Amazon warnings and in reaction to local earnings. Market then gradually worked better in choppy trading but saw resistance at 25,500 and sold down to 25,380 before rebounding and traded sideways around 25,440 level into lunch. PM saw the market to dip down to 25,315 level before rebounding to 25,400 level at the close.
Insurance sector weak after poor numbers from Ping An and China Life, BYD also weak after poor results due to chip shortages. Petrochina +VE on good earnings. Healthcare saw selling into the close but the decline in Coal names eased.
Another large day for reporting but T/O remains light.
Sector Leaders Utilities, Staples and Materials
Laggards Telco, Chinese Property, ECommerce.

Hong Kong reported 5 imported covid cases.
The Government announced its financial results for the six months ended September 30, 2021. 
Expenditure for the period amounted to HK$316 billion and revenue HK$200.3 billion, resulting in a cumulative year-to-date deficit of HK$115.7 billion.
A Government spokesperson said that the cumulative year-to-date deficit for the period was mainly due to the fact that some major types of revenue including salaries and profits taxes are mostly received towards the end of a financial year.

SHORT SELLING HSI Friday 15.3% vs 18.6% Thursday
Top shorts 
Hang Seng Bank (11) 42%, Haidilao (6862) 41%, Country Garden (2007) 39%, Techtronic (669) 38%, China Life (2628) 38%, Sands China (1928) 35%, Mengniu Dairy (2319) 34%, Wharf REIC (1997) 31%, Geely (175) 31%, CKI (1038) 26%, BoC (3988) 26%,  ICBC (1398) 26%, Ali Health (241) 26%, Petrochina (857) 25%,Henderson Land (12) 25%, HSBC (5) 25%.

PING AN (02318.HK) announced that on October 29, it repurchased 6.005 million A shares 
through the Shanghai Stock Exchange at a price of RMB49.26-50.23 per  share, involving nearly RMB300 million.

ICBC (01398.HK) announced the first three quarters' results ended September 2021. Operating income amounted to RMB643.895 billion, representing an increase of 7.27% compared with the same period of last year. The net profit amounted to RMB251.821 billion, up 10.1%. EPS  was RMB0.69.

BYD COMPANY (01211.HK)  would place 50 million H-shares (i.e. 1.7% of its share capital as enlarged) at a placing price of $273.5-279.5 per share, representing a 5.8%-7.8% discount to today's closing price of $296.6, according to market sources. The company would raise up to $13.975 billion, proposing to use it for operation funds, debt repayment, R&D and general corporate purposes.

The Hong Kong Association of Banks (HKAB) expressed that the newly launched Cross-border Wealth Management Connect scheme has been operating smoothly as a whole and recording positive feedback from the market.  HKAB believes that the scheme will be able to facilitate the opening up of the Chinese capital market and the internationalization of RMB. The association hopes that, under the principle of maintaining controllable risks, the scheme could gradually expand the varieties and quotas of financial products.

MCC (01618.HK) (601618.SH)  announced that in accordance with the Chinese Accounting Standards for Business Enterprises, net profit climbed 33.01% YoY to RMB6.128 billion for the first three quarters ended 30 September 2021. EPS  was RMB0.26.

CPIC (02601.HK)  announced that, for the first three quarters of 2021, the Group realised net profit of RMB22.686 billion, up by 15.5% yearly. Basic EPS was RMB2.36.

The Hong Kong Monetary Authority (HKMA) announced that the total assets of the Exchange Fund amounted to HK$4.5327 trillion as at September 30, 2021, HK$123.9 billion lower than that at the end of August 2021. Hong Kong dollar assets decreased by HK$78.1 billion and foreign currency assets decreased by HK$45.8 billion.
The decline in Hong Kong dollar assets was mainly due to a decrease in Exchange Fund Bills and Notes issued but not yet settled and the mark-to-market revaluation on Hong Kong equities. The decline in foreign currency assets was mainly due to a decrease in the month-end balances of unsettled purchase of securities and the mark-to-market revaluation on foreign currency investments.

China's Ministry of Education, along with the Publicity Department of the Central Committee of the CPC, Cyber Administration of China, Ministry of Industry and Information Technology (MIIT), Ministry of Public Security (MPS) and State Administration for Market Regulation (SAMR), and other departments, jointly issued a notice on strengthening the management works for the relevant measures designed to prevent secondary and primary school students from developing an addiction for online games, demanding all local publication management departments to strictly implement the approval procedures for online games and to supervise the online game companies, so as to ensure that the published games do not contain any content that may damage the physical and mental health of the students.

BOC HONG KONG (02388.HK) announced that in the first nine months of 2021, the Group’s net operating income before impairment allowances decreased by 12.4% year-on-year to HK$37.607 billion.  If the funding income or cost of foreign currency swap contracts were included, net interest margin would have decreased by 28 basis points year-on-year to 1.1%; while net interest income would be HK$24.685 billion, representing a year-on-year decrease of 11.9%.

COSCO SHIP PORT(01199.HK) announced first three quarters result ended September 2021. The revenue rose 19.1% year on year to US$861 million. The net profit amounted to US$262 million, up 5% year on year.  EPS was US7.9 cents.

BANKCOMM (03328.HK) announced that in accordance with International Financial Reporting Standards, the net operating income rose 7.85% YoY to RMB200.21 billion in the first three quarters of this year. Net profit gained 22.1% YoY to RMB64.36 billion. Basic EPS was RMB0.8  For the third quarter alone, net profit lifted 37.85% YoY to RMB22.341 billion. Basic EPS was RMB0.26.

SANY INT'L(00631.HK) announced first three quarters result ended September 2021. The revenue rose 37% year on year to RMB7.541 billion. The net profit amounted to RMB1.113 billion, up 23.4% year on year.  Over 3Q, the company's revenue amounted to RMB2.557 billion, up 51.4% year on year. 3Q net profit likewise hiked 7.9% year on year to RMB284 million.  

GREATWALL MOTOR (02333.HK) announced that, in accordance with China Accounting Standards for Business Enterprises, net profit declined 1.72% yearly to RMB1.42 billion for the third quarter ended 30 September 2021. Basic EPS was RMB0.15.

KOWLOON DEV (00034.HK) announced to have accepted the Land Exchange Offer from the government, pursuant to which the company will surrender the surrendered lot located at No. 35 Clear Water Bay Road, with a total site area of about 19,335.5 square metres, to the government. The government will subsequently grant the regranted lot as the New Kowloon Inland Lot No. 6458, with a total side area of about 22,373 square metres, to KOWLOON DEV, for a premium of HK$9.658 billion.

Huawei announced the operating results for the first three quarters of 2021, with revenue of RMB455.8 billion and profit margin of 10.2%.

Centa-City Leading Index (CCL) last posted 186.17, down 0.18% WoW.
CCL Mass likewise dropped 0.07% WoW to post at 188.77. CCL (small-and-medium units) and CCL (large units) lost 0.09% WoW and 0.72% WoW, to post at 186.81 and 182.76 respectively. The four major indices all receded for five consecutive weeks for the first time since October 2019.
Investors are advised to closely monitor the CCL reading for next week as it would reflect whether the Hong Kong home price could stabilize the drop and regain momentum after the announcement of the latest Policy Address, expressed the research department of Centaline Property.

Regional Markets
Market opened higher inline with futures but sold down in early trading. Energy and Mining names weak as prices fall. Banks weak. Concerns about RBA not announcing any purchases to defend the Bond Yield target hurting market sentiment Closed just off the lows -107pts (-1.4%) @ 7,324
CSL +0.2% and Res Med +4.2% after good earnings off earlier highs.
HT&E +31% on settlement with Tax office. Seven West Media +9.6% as debt renegotiation seen as +VE.
Vulcan Energy -16% (off early lows) as it resumed trading after addressing allegations made in the J Capital report on Tuesday.
Retail Sales Prelim Sept +1.3% MoM vs -1.7% Aug (F/cast was -0.9%)
PPI Q3 1.1% QoQ vs 0.7% Q2 (F/cast was 1.4%)
PPI Q3 2.9% YoY vs 2.2% Q2 (F/cast was 2.5%)
Private Sector Credit Sept 0.6% MoM vs 0.6% Aug (F/cast was 0.5%)
Private Sector Credit Sept 5.3% YoY vs 4.7% Aug (F/cast was 4.9%)
Nikkei opened flat saw an initial uptick but trended lower to 28,475 by mid morning following the Apple/Amazon warnings and in reaction to recent Japanese earnings reports and maybe the weekend election. But rebounded to flat at lunchtime. PM opened higher but eased back to trade sideways and closed +73pts (+0.3%) @ 28,893
Topix traded in a similar pattern but dipped into the red in the PM but spiked at the end to close +2pts (+0.1%) @ 2,001.
Leaders Shippers, Iron/Steel, Food, Electrical Appliances
Laggards Utilities, Property, Retail and Banks
T/O down DoD (after Topix rebal) but better than recent levels which suggests end of month activity.
Monday we will know the election results and it is another big day for earnings.
Data pre market
Unemployment Sept 2.8% vs 2.8% Aug (F/cast was 2.8%)
Tokyo Core CPI Oct 0.1% YoY vs 0.1% Sept (F/cast was 0.3%)
Tokyo CPI Oct 0.1% YoY vs 0.3% Sept (F/cast was 0.4%)
Jobs Ratio Sept 1.16 vs 1.14 Aug (F/cast was 1.14)
Industrial Production Prelim Sept -5.4% MoM vs -3.6% Aug (F/cast was -3%)
Industrial Production Sept -2.3% YoY vs 8.8% Aug (F/cast was 7%)
After lunch
Consumer Confidence Oct 39.2 vs 37.8 Sept (F/cast was 39)
Housing Starts Sept 4.3% YoY vs 7.5% Aug (F/cast was 7.5%)
Construction Orders Sept 27.3% YoY vs -2% Aug (F/cast was 1%)
S Korea
Foreign and local Inst selling with general selling of large caps.
Pharma weakest, Celltrion -7.3%, Tech weak after Apple warning, Insurance -VE. Recent laggard Cement closed +VE.
Earnings still in focus next week with increased number of companies reporting.
Kospi opened higher but sold down in the first hour to 2,990 level and then traded sideways around 2,990 level but then sold down day lows before an uptick to close -39pts (-1.3%) @ 2,971
Kosdaq traded in a similar path to close -8pts (-0.8%) @ 992.
Data pre market
Business Confidence Oct 90 vs 90 Sept (F/cast was 97)
Construction Output Sept -8.4% vs -0.1% Aug revised (F/cast was-3.8%)
Industrial Production Sept -1.8% YoY vs +9.7% Aug revised (F/cast was +2.9%)
Industrial Production Sept -0.8% MoM vs -0.7% Aug (F/cast was -0.6%)
Manufacturing Production Sept -1.9% vs +10.2% Aug (F/cast was +3.2%)
Retail Sales Sept +3.7% YoY vs 3.8% Aug (F/cast was +0.9%)
Retail Sales Sept +2.5% MoM vs -0.8% Aug (F/cast was -0.5%)
Taiex opened flat but sold down to 16,920 in the first 30 mins in reaction to the Apple/Amazon warnings and caution from some local firms. From 9:30am the market worked slowly better currently -45pts (-0.3%) @ 17,000
Data after market 
GDP Growth Rate Adv Q3 +3.8% YoY vs 7.43% Q2 (F/cast was 6%
T/O Friday US$12.40bn higher than recently seen
CECC reported 5 new cases all imported, including the first case of the ‘Delta plus’.
The de facto American ambassador to Taiwan has reaffirmed Washington's commitment to help Taipei defend itself, but offered few details on hot button bilateral issues in her first press conference since assuming office this summer.
Sony is currently in talks with TSMC on a potential partnership of building a chip plant in Japan, confirmed Hiroki Totoki, Sony's CFO. Totoki added that Sony will continue to negotiate with the Japanese government in relation to the project but did not reveal the relevant investment amount. Totoki further remarked that, amid the global semiconductor shortage, securing stable chip purchase remains a crucial task for the company and that Sony believes that co-building a chip factory with TSMC could be one of the potential solutions.

Active Heavyweights

PING AN (02318.HK) -2.450 (-4.199%) Short selling $565.97M; Ratio 17.958% closed at $55.9, down 4.2%
AIA (01299.HK) -1.700 (-1.898%) Short selling $341.12M; Ratio 16.012% closed at $87.85, down 1.9%
TENCENT (00700.HK) -7.200 (-1.475%) Short selling $301.25M; Ratio 3.790% closed at $481, down 1.5%
BABA (09988.HK) -2.200 (-1.332%) Short selling $959.58M; Ratio 23.909% closed at $163, down 1.3%
MEITUAN (03690.HK) -2.600 (-0.955%) Short selling $275.73M; Ratio 7.047% closed at $269.6, down 1%
CCB (00939.HK) -0.040 (-0.750%) Short selling $87.10M; Ratio 5.309% closed at $5.29, down 0.8%
HKEX (00388.HK) +3.200 (+0.684%) Short selling $200.96M; Ratio 13.850% closed at $470.8, up 0.7%

HSI & HSCEI Constituents on Move:
PSBC (01658.HK) +0.290 (+5.400%) Short selling $144.28M; Ratio 20.242% closed at $5.66, up 5.4%
ENN ENERGY (02688.HK) +6.700 (+5.234%) Short selling $128.91M; Ratio 28.083% closed at $134.7, up 5.2%
BUD APAC (01876.HK) +0.800 (+3.874%) Short selling $82.56M; Ratio 24.178% closed at $21.45, up 3.9%
EVERG SERVICES (06666.HK) -0.160 (-3.865%) Short selling $4.86M; Ratio 2.680% closed at $3.98, down 3.9%
EVERGRANDE (03333.HK) -0.090 (-3.734%) Short selling $10.44M; Ratio 7.579% closed at $2.32, down 3.7%
SHENZHOU INTL (02313.HK) -6.200 (-3.563%) Short selling $71.31M; Ratio 16.227% closed at $167.8, down 3.6%
CPIC (02601.HK) -0.850 (-3.421%) Short selling $97.73M; Ratio 22.904% closed at $24, down 3.4%
HAIDILAO (06862.HK) -0.750 (-3.326%) Short selling $190.21M; Ratio 40.825% closed at $21.8, down 3.3%
ALI HEALTH (00241.HK) -0.330 (-3.248%) Short selling $124.00M; Ratio 25.503% closed at $9.83, down 3.2%
CG SERVICES (06098.HK) -2.000 (-3.200%) Short selling $45.73M; Ratio 9.000% closed at $60.5, down 3.2%
CHINA LIFE (02628.HK) -0.440 (-3.143%) Short selling $285.54M; Ratio 37.825% closed at $13.56, down 3.1%
HANG LUNG PPT (00101.HK) -0.580 (-3.112%) Short selling $11.10M; Ratio 8.511% closed at $18.06, down 3.1%
CHINA RES LAND (01109.HK) -0.950 (-3.040%) Short selling $54.79M; Ratio 9.439% closed at $30.3, down 3%
WH GROUP (00288.HK) +0.160 (+3.019%) Short selling $20.14M; Ratio 6.208% closed at $5.46, up 3%

HSMI & HSSI Constituents on Move:

SKYWORTH (00751.HK) +0.540 (+14.211%) Short selling $35.39M; Ratio 3.719% closed at $4.34, up 14.2%, hitting new high
TIANLI EDU (01773.HK) +0.180 (+12.414%) Short selling $6.04M; Ratio 24.493% closed at $1.63, up 12.4%
JOY SPREADER (06988.HK) +0.220 (+10.280%) Short selling $11.60K; Ratio 0.017% closed at $2.36, up 10.3%

Market News 

KAISA GROUP (01638.HK) is seeking buyers of its property manager KAISA PROSPER (02168.HK) and two residential sites in Hong Kong for debt repayment, Reuters citing insiders.
KAISA GROUP is planning to sell around 67.18% stakes in KAISA PROSPER, having yet to confirm any buyer. KAISA PROSPER's market cap is approximately $2.58 billion.

Tesla, Inc. (TSLA.US) has ordered from CATL (300750.SZ) 45GWh lithium-iron-phosphate (LFP) batteries mainly for Model 3 and Model Y production, Chinese media citing insiders. Shares of CATL +5.2% off earlier highs

The U.S. Senate passed the Secure Equipment Act unanimously, forbidding the FCC to grant any licenses to Huawei and ZTE (00763.HK)  for their new equipment.  Being cleared at the House last week, the bill is awaiting the signature of President Joe Biden.

Chai Shouping, Chief Financial Officer of PETROCHINA (00857.HK), expressed at the 3Q result phone meeting that, due to the increase in the cost of import gas, the group's import gas operation has further began to post losses since 2Q21. The relevant loss in 3Q was approximately RMB6.4 billion while that for the first three quarters amounted to over RMB3 billion.  In light of the continuously soaring international oil prices, which led to the increase of import gas cost, the group will continue to strengthen the management of supply/ demand dynamics, so as to achieve effective cost control, Chai remarked. He added that the import gas under long-term contracts will be sold at relevant contracted prices while those not included in the contracts will be sold at a favorable price.

HK01 had previously reported that EVERGRANDE (03333.HK) pledged the detached house at Black's Link, The Peak owned by Chairman Hui Ka Yan to CCB (Asia). The pledge was later found to be used for the repayment of US$260 million bonds, which had the principal and interest expired on 3 October and been given grace period.  Pursuant to the record of Companies Registry on 28 October, Better Vision Limited, which held Block B at No.10 Black's Link, The Peak, added two signed papers dated 19 October, including a set of mortgage document and a bond. The two pledges involved a US$260 million bonds issued on 3 October 2019 by Jumbo Fortune Enterprise Limited, a BVI registered company under EVERGRANDE.  Despite the maturity on 3 October 2021, the related bond, bearing 8.5% coupon rate, was spared to have extension period of over three months, since the company agreed to provide additional collateral to bondholders.

U.S. Trade Representative Katherine Tai remarked that her engagement with China is aimed at reducing the heightened tension in the trading relationship between the two nations.
Tai expressed that the tense relationship between the U.S. and China rendered it extremely prone to misunderstanding, which could lead to serious consequences for all parties involved. She, therefore, hoped to lighten the tension and facilitate a rational discussion between the two countries, in relation to stabilizing trade development.

Transport and Housing Bureau (THB) announced that, as of the end of September, the number of private residential units commenced construction amounted to 7,200, compared to 11,800 for the previous year.  The THB predicted that, over the coming three to four years, the number of the first-hand residential units that may be available will be approximately 94,000, lower than the estimate of 96,000 units released in the previous report

China's smartphone sales over 3Q21 amounted to 76.5 million units, down 9% YoY and up 3% QoQ, mainly due to the weakened consumer demand and component shortage, which prevented the smartphone market to make significant improvement in 3Q sales, according to a report from Counterpoint Research.  Over the period, vivo and OPPO continued to lead the market with market share of 23% and 20% respectively. HONOR, on the other hand, almost doubled its market share (up from 7.7% in 2Q to 14.7% in 3Q), driving the company to surpass XIAOMI-W (01810.HK), which has a market share of 14%, and take third place.

EVERGRANDE (03333.HK) has paid an offshore bond coupon before the end of grace period on Friday, fulfilling its second repayment obligation this month, Reuters citing insiders.  The Chinese developer averted a default last week by a US$83.5-million bond interest payment. It also has to pay US$47.5 million in coupon to bondholders by Friday.

Pre Market News

GET HOLDINGS (08100.HK)  announced that during the period from 12 October 2021 to 28 October 2021, the Group acquired an aggregate of 57,000 BABA-SW (09988.HK) Shares on the open market for an aggregate consideration of HK$9.3937 million at an average price of approximately HK$164.8 per Share.

CENTRAL CHINA (00832.HK) announced that the company has remitted funds in an aggregate amount of RMB3 billion from its onshore bank account(s) in the People’s Republic of China to its offshore bank accounts.  The company intends to utilize the remitted funds to settle the outstanding  principal amount and accrued interest of the November 2021 Notes at its maturity in accordance with the terms and conditions of the November 2021 Notes, the announcement added.

BYD ELECTRONIC (00285.HK) announced that BYD Precision (a wholly owned subsidiary of the Company), BYD COMPANY (01211.HK) and Bank of Xi’an will enter into the Capital Contribution Agreement with BYD Auto Finance, pursuant to which, the Shareholders agree to make a capital contribution of RMB2.5 billion in aggregate to BYD Auto Finance in accordance with their respective shareholding on a pro rata basis.  Each of BYD ELECTRONIC and BYD COMPANY would contribute RMB75 million and RMB1.925 billion, respectively.

China's Ministry of Finance (MOF) announced that, with the approval from the State Council, the MOF will issue a batch of EUR sovereign bonds in Hong Kong on 10 November, at a scale of EUR4 billion, with tenures of 3 years, 7 years and 12 years.

SUNAC (01918.HK) announced that, during the period from 1 June 2021 to 28 October 2021, the group disposed of an aggregate of approximately 18.639 million Beike (BEKE.US) ADSs (equivalent to approximately 55.917 million Beike Class A Ordinary Shares) for an aggregate consideration of approximately US$554 million.  The group expects that a loss before taxation of approximately RMB2.72 billion will be recorded from the disposals in 2021.

Trading in the shares of RAZER (01337.HK) will be halted with effect from 9:00 a.m. on October 29, 2021 pending the release of an announcement in relation to inside information of the Company and pursuant to the Hong Kong Code on Takeovers and Mergers.The Hong Kong government announced that from November 2 (Tuesday) the quarantine exemption arrangement for persons arriving in Hong Kong from Macao under the Return2hk Scheme and the Come2hk Scheme will be resumed, given that the COVID-19 pandemic situation in Macao has stabilised.
Pursuant to the relevant arrangements, persons currently staying in Macao, upon fulfilment of all specified conditions under the Return2hk Scheme or the Come2hk Scheme, could be exempted from the compulsory quarantine requirement when they enter Hong Kong. From 0.00am on November 2, the online booking systems of the two Schemes mentioned above will be open for quota application for persons entering Hong Kong from Macao.

UP Fintech Holding Limited (TIGR.US) has recently noted reports that PRC operations by brokers with only offshore licenses would be illegal, reported The Paper. The group has always regarded legal and compliant operation as its lifeline, being in active communication with regulators.   UP Fintech owns securities licenses across Hong Kong, Singapore, New Zealand, Australia, the U.S. and many other regions, while strictly complying with relevant regulatory requirements to protect customers' asset security.

HSBC HOLDINGS (00005.HK) announced that, yesterday (28th), it has repurchased 2.9752 million shares of the company in the London market, at a price ranging between GBP4.367 and GBP4.431, with with a  volume  weighted average price of GBP4.4061, involving GBP13.1089 million (approximately HKD140.7 million).

The People's Bank of China (PBOC) previously described that the operation of overseas-licensed brokers in China as illegal, prompting the U.S.-listed Chinese broker Futu Holdings (FUTU.US) to plunge by 12.76% to post at USD58.47 as the market closed on Thursday (28th). UP Fintech Holding (TIGR.US) likewise plummeted 17.06% to USD7.34.
Futu's founder, Leaf Hua Li, expressed on FutuBull platform that Futu Securities is a licensed institution that was founded in Hong Kong and that the company's operating model is practically the same as other banking and securities institutions in Hong Kong.
Li remarked that the capital amount currently available to Futu Securities is sufficient and that there is no windup concern. He added that the assets, personal information and other private data of the company's clients have always been effectively protected.

While PAX GLOBAL (00327.HK)'s office in Florida was purportedly raided by the U.S. FBI on 26 October at local time, the company's spokesman was quoted as saying by foreign media that they are not aware of any illegal behaviors of the company, and that business is as usual at Florida office after the raid.  Bloomberg separately reported that Patty Walters, who served as senior vice president of security and services of PAX GLOBAL, resigned after the company was raided by FBI, but refused to elaborate on the reasons of her departure.

The General Office of China's Ministry of Industry and Information Technology (MIIT) issued a notice on piloting the battery-swapping mode for new energy vehicles (NEVs). A total of eleven cities are included in the trial, namely Beijing, Nanjing, Wuhan, Sanya, Chongqing, Changchun, Hefei, Jinan, Yibin, Tangshan, and Baotou.

CHINESE EST H (00127.HK)  announced that, during the period from 19 October 2021 to 28 October  2021, the group disposed of the senior notes issued by KAISA GROUP  (01638.HK) through a series of transactions in the over-the-counter market with an  aggregate principal amount of US$255 million for an aggregate  consideration of US$77.71 million.   It is expected that the group  will record a realised loss of approximately HK$1.355 billion in profit  or loss for the year ending 31 December 2021 as a result of the  disposal, the announcement added.

CST GROUP (00985.HK) announced that, on the previous trading day (28th), the company disposed an aggregate of 38.537 million shares of HUISHANG BANK (03698.HK) on the open market at an aggregate consideration of approximately HK$100 million, at an average price of approximately HK$2.6 per share. It is expected that the group will recognise a gain of approximately HK$140,000 as a result of the disposal, the announcement added.

YUZHOU GROUP (01628.HK) announced that, on 28 October, Lam Lung On, the chairman and a controlling shareholder of the Company, has acquired 3 million shares of the Company on the market for an aggregate consideration of approximately HK$2.55 million (representing an average price of HK$0.85 per Share). Following the Acquisitions, Mr. Lam is interested in an aggregate of 3.726 billion Shares, representing 59.10% of the share capital of the Company.

CKH HOLDINGS (00001.HK)'s statement disclosed that on October 28, it repurchased 87,000 shares of the company on the Stock Exchange at a price ranging $52.1-52.35 per share, involving a total of about $4.56 million.  YTD, the company has repurchased a total of 19.73 million shares, accounting for 0.5116% of the company's share capital.

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