HSI -357pts (-1.2%) 29,096 HSCEI -92pts (-0.8%) 11,361 T/O HK$23.72bn (+11.3% DoD)
Markets opened lower but worked higher in choppy early trading.
Pre market data was mixed as German retail sales missed. UK house prices beat and Eurozone inflation was light. UK markets likely to be cautious ahead of the Budget on Wednesday.
HelloFresh -VE after earnings but Kion Group +VE
Earnings due Man Group, Travis Perkins, Taylor Wimpey and Hotel Chocolat.
Core Inflation Rate Flash Feb +1.1% YoY vs +1.4% Jan (F/cast was +1.2%)
Inflation Rate Flash Feb +0.9% YoY vs +0.9% Jan (F/cast was +1%)
Inflation Rate Flash Feb +0.2% MoM vs +0.2% Jan (F/cast was +0.3%)
Retail Sales Jan -4.5% MoM vs -9.1% Dec revised (F/cast was -1.6%)
Retail Sales Jan -8.7% YoY vs +2.8% Dec revised (F/cast was +0.9%)
Unemployment Feb 6% vs 65 Jan (F/cast was 6%)
Nationwide House Prices Feb +6.9% YoY vs +6.4% Jan (F/cast was +6.5%)
Nationwide House Prices Feb +0.7% MoM vs -0.2% Jan revised (F/cast was +0.2%)
Opened in Asian time Dow +40pts, S&P +0.15% and NDX +0.3% but retreated during the day but improving off their lows now Dow -65pts with S&P and NDX both still -VE
Target’s earnings topped Wall Street’s estimates, as its sales got a lift from a strong holiday season and stimulus checks.
Redbook, ISM New York, IBD.TIPP Economic Optimism, API Crude Oil Change.Speeches from Feds Brainard and Daly and comments from SFC chair nominee Gary Gensler will be closely watched for hints on inflation.
Target, Box, Hewlett Packard Enterprise, Nordstrom, Ross Stores, International Game Technologies, AutoZone, Kohl’s, Abercrombie and Fitch, Hovnanian
CHINA CSI 300 closed -69pts (-1.3%) @ 5,350
CSI 300 opened higher at 5,450 and trade sideways initially testing that level but unable to break above and around mid morning sold down into lunch. PM opened lower around 5,350 and tested down to 5,305 level before seeing a bounce back above 5,350 and then traded sideways into the close.
Caution ahead of the ’two sessions’ watching for policy decision on stimulus and debt.
Also a warning from the CBIRC chief about all types of banks following the regulations for lending and hinting at a asset bubble in property and foreign lending.
Weakness in consumption names, oil, non-ferrous metals along with real estate, finance, and steel makers.
Buying interest in carbon-neutral names, power providers, cement, and coal miners.
Shanghai Comp -43pts (-1.2%) @ 3,509
Shenzhen Comp -106pts (-0.7%) @ 14,751
ChiNext -28pts (-0.9%) @ 2,967
At Chinese State Council Information Office's news conference, the CBIRC Chairman Guo Shuqing said all financial businesses, in whatever forms, must comply with corresponding regulatory norms and rules with no exception. While Beijing encourages the development of online banks, Guo reminded them to correspondingly stick to financial regulation under a unified management regime. He outlined regardless of being banks on internet platforms, micro-lending firms and consumer finance companies, all financial businesses commenced online would have to comply with the same capital adequacy ratio requirements as other financial institutions do.
COVID It may make take two to three years, if not longer, for the world to achieve community immunity to novel coronavirus, said Zhong Nanshan, the team leader of senior experts of National Health Commission of the PRC. China targets at 40% vaccination coverage nationwide by the end of June, disclosed Zhong, adding however that this is not enough for the country to realize community immunity.
China's logistics sentiment index for February 2021 came in at 49.8%, a drop of 4.6 ppts from the previous month, as announced by China Federation of Logistics and Purchasing (CFLP).
China's warehousing index was 48.9%, a fall of 3.3 ppts from the previous month.
Tomorrow we get Caixin Services and Composite PMI
HSI Opened @ 29,708 +256pts vs +80ps ADR’s with E Commerce names +VE but weakness in Gome on news if its top-up placement at a 15% discount.
Saw initial selling but then rebounded to the opening level but sold down following China on comments from the CBIRC chief about asset bubbles and finance companies bounce off 29,200 into lunch. PM tested lower with support at 29,000 which it tested a couple of times before trading sideways into the close.
Shipping and Resources still seeing interest. Oil was weak.
Some worries as Financial Secretary Paul Chan said he did not seek to make HK un-competitive with the stamp duty hike but equally did not rule out a further hike. He also said the HKEX is looking at the potential for Spac’s in Hong Kong. Some investors are cautious about the impact of the latest Hang Seng Indexes changes but I think most are positive. See FT LEX for concerns.
HONG KONG DATA
The Land Registry today released the number of sale and purchase agreements for all building units in February was 7,561 (+21.7 MoM and +71.3 YoY ).
The total consideration for sale and purchase agreements in February was $64.3 billion (-3.7% MoM but +82.1% YoY).
Centre for Health Protection said there 13 were new COVID-19 cases in Hong Kong today; (vs 14 Monday) with 4 from unknown sources.
SCICLONE PHARMA (06600.HK), to be listed Wednesday, opened at $20 in
gray market and closed at $19.18 on the, up 2% or $0.38 against the listing price of $18.8, on volume of 6.95 million shares and turnover of $134 million. Excluding handling fee, the book gain is $190 per board lot size of 500 shares.
SHORT SELLING Tuesday 16.7% vs 14.3% Monday
Top Shorts: Bud Apac (1876) 56%, Ping An (2318) 42%, CCB (939) 39%, Bank of China (3988) 39%, Hengan (1044) 38%, HSBC (5) 38%, Hang Seng Bank (11) 36%,China Res Land (1109) 35%, Country Garden (2007) 34%, Sunny Optical (2382) 33%, AIA (1299) 32%, CLP (2) 30%, Hang Lung PPTY (101) 30%, BankComm (3328) 28%, ICBC (1398) 28%, CITIC (267) 27%, Sinopec (386) 25%, Henderson Land (12) 25%, MTRC (66) 25%.
Earnings due Wednesday include Techtronics (669), MMG (1208), Prudential (2378)
AFTER MARKET NEWS
Altissimo, jointly developed by COUNTRY GARDEN (02007.HK), WANG ON PPT (01243.HK) and CHINA STATE CON (03311.HK), has recently unrolled two featured flats, in salable area of 1,289 sq. ft. and 1,352 sq. ft., for tender. The two units of the Ma On Shan residential project carry intended price of $43 million and $45 million.
WHARF HOLDINGS (00004.HK) 's 77/79 Peak Road project, developed and dealt by Wheelock Properties, sold the 77F Peak Road's house at over $558 million, representing a floor price of $92,088 per sq.ft..
KWG GROUP (01813.HK) announced that the pre-sales achieved in February 2021 amounted to RMB4.56 billion, up 167.1% yearly.
Tencent Music announced the profound strategic partnership with HIM International Music. Pursuant to which, HIM will put up legitimate sound sources on TME's QQ Music, KuGou, Kuwo Music, WeSing and other platforms.
PHOENIX TV (02008.HK) Profit Warning, expecting a loss of approximately HK$1.05 billion for the financial year ended 31 December 2020, compared to a profit of approximately HK$122 million for the financial year ended 31 December 2019.
REGENT PACIFIC (00575.HK) Profit Warning. It is expected that the Group will record a loss for the year ended 31 December 2020 of between US$21 million (or approximately HK$164 million) to US$25 million (or approximately HK$195 million), which is a substantial decrease as compared to a loss of US$66.05 million (or approximately HK$515 million) for the corresponding period in 2019.
SHK PPT (00016.HK) displayed today show flats of Prince Central to the press. The first price list may be coming this week after the Ho Man Tin project displays another show flat, said the developer.
*HSI CHANGES: includes increasing the number of constituents to 80 by mid-2022, and limit a stock’s weighting to 8%. Implementation of the changes will begin as early as its May index review and go through mid-2022. Stocks that have higher than 8% weighting in HSI currently are TENCENT (700 HK +0.14%), AIA (1299 HK -3.1%). HSBC (5 HK -2.8%). Stocks whose weighting was capped at 5% who would benefit: ALIBABA (9988 HK -2.2%), MEITUAN (3690 HK -1.2%).
*OIL WEAK concerns over Chinese demand ahead of a key OPEC+ meeting this week that may see supply increases. PETROCHINA (857 HK -3.2%) SINOPEC (386 HK -2.3%) CNOOC (883 HK -3.4%).
*POWER FIRM As China’s plans that the State Grid should be carbon net neutral by 2060: LONGYUAN (916 HK +0.5%) GOLDWIND (2208 HK +0.9%) CR POWER (836 HK +0.3%). COAL firm as supply side cuts, will benefit larger players valuations: YZ COAL (1171 HK +5.9%) CH COAL (1898 HK +0.3%).
*SEMICONDUCTOR MAKERS FIRM New reported that SMIC (981 HK+3.7%) is permitted to obtain supply from some American manufacturers, primarily involving semiconductor equipment for mature processes. Media also reported that the company has leapfrogged its chip processing technology to 3nm from 20nm; and all it needs now is EUV lithography machine, with which a mass production for 3nm chips can be realized.There is also speculation that China will approve further support and a 5-year intention at the upcoming NPC meeting, to cut dependence on the West for crucial components like computer chips. HUA HONG (1347 HK +0.7%) FIT HON TENG (6088 HK +0.4%). *RESTAURANT CHAINS WEAK after HAIDILAO INTL (6862 HK -0.5%) Profit Warning ; expects 90% YoY drop in profit for 2020, cites outbreak of the coronavirus, and a net foreign exchange loss of 235m yuan for the financial year ended December 2020.Also concerns that the ending of the Lease of Mr. Ming's Chinese Dining in K11 Musea because of sub standard air conditioning circulation will mean increased costs/risk for operators: YIHAI INTL (1579 HK -1%) JIUMAOJIU (9922 HK +2.2%) XIABUXIABU (520 HK -2%).
*CHINA PROPERTY MIXED good YTD sales numbers but the warning from the CBIRC of a possible asset bubble with concerns of more tightening as some people buy real estate as speculative investment rather than living purpose. This goes against what President Xi said a while ago and refers to people buying units and leaving them empty. In China there are some who buy to lease out but others that buy just for speculation and never let the units. Part of the reason being that often tenants do not look after the unit.
GZ R&F (2777 HK -0.8%) Feb contracted sales +235% YoY to 9.05b yuan. CR LAND (1109 HK +3%) LONGFOR (960 HK +1.2%) SUNAC (1918 HK -1.7%) AGILE (3383 HK +1.5%) SHIMAO (813 HK -1%).
ASX 200 rallied on the open but then trended lower for the rest of the day to close at the day low -27pts (-0.4%) @ 6,762
The Reserve Bank of Australia (RBA) left its cash rate at 0.1%.“The current monetary policy settings are continuing to help the economy by keeping financing costs very low, contributing to a lower exchange rate than otherwise, and supporting the supply of credit and household and business balance sheets,” RBA Governor Philip Lowe said in a statement. “Together, monetary and fiscal policy are supporting the recovery in aggregate demand and the pick-up in employment.”
Nikkei 225 opened higher after the rebound in the US and the pre market data was good. Looked to rtes 30,000 in early trades but never reached there and trended lower through the session to close at lunch just below Monday’s close. PM opened lower and traded sideways to close -255pts (-0.9%) @ 29,408
Topix followed a similar pattern although worked higher to close -8pts (-0.4%) @ 1,895
Yesterday’s PMI showed more factory activity expansion along with Input costs rising +VE
Watch Fukuoka Financial Group that technical chart shows its is set to breakout benefitting from the yields on Japanese 10 year bonds hitting the highest level in three years.
Unemployment Rate Jan 2.9% vs +2.9% Dec (F/cast was 3%)
Jobs/application Ratio Jan 1.1 vs 1.06 Dec (F/cast was 1.07)
Capital Spending Q4 -4.8% vs -10.6% Q3 (F/cast was -5.5%)
Tomorrow we PMI Composite and Services
Re opened after good traded data out Monday, this mornings data was more mixed but PMI improved with improving new orders and output but rising input prices which were bing passed onto clients. Foreigner started as buyers as bond concerns eased.
Kosdaq opened higher and initially rallied to 936 before drifting lower until around 1pm when the selling increased and it tested Friday’s closing level before a bounce to close +9pts (+1%) @ 923
Kospi followed a similar patter to close +31pts (+1%) @ 3,044
Industrial Production Jan -1.6% MoM vs +3.7% Dec (F/cast was +0.8%)
Industrial Production Jan +7.5% YoY vs +3.4% Dec (F/cast was +4.5%)
Manufacturing Production Jan +7.4% YoY vs +3.4% Dec (F/cast was +5.5%)
Construction Output Jan -6.4% YoY vs -2.5% Dec (F/cast was +1.5%)
Retail Sales Jan 0% YoY vs -2% Dec (F/cast was -1.5%)
Retail Sales Jan +1.6% MoM vs +0.2% Dec (F/cast was +0.5%)
During market hours
Manufacturing PMI Feb 55.3 vs 53.2 Jan (F/cast was 53)
opened higher and tested 16,263 in early trading but then trended lower for the rest of the session and closed at the day low -7pts unch @ 15,947
Manufacturing PMI Feb 60.4 vs 60.2 Jan (F/cast was 60)
The highest since April 2010. A substantial rise in new orders supported expansions of both output and employment. Also, export sales grew at the second-quickest rates since January 2011, with firms mentioning improved demand across mainland China, Europe, and the US in particular. In addition, buying levels rose the most in almost eleven years as firms looked to meet rising order volumes. Meantime, supply chain delays were the worst seen on record amid stock shortages and shipping-related delays. This in turn drove a further sharp increase in input costs, which was partly passed on to customers in the form of higher factory gate charges. Finally, sentiment slipped to a three-month low
CONNECT FLOWS (small increased)
Northbound RMB 60,269m Sell 31,791m : 28,487m Buy
Southbound HK$ 27,364m Sell 14,123m : 13,214m Buy
Northbound RMB 66,501m Sell 34,989m : 31,512m Buy
Southbound HK$ 28,560m Sell 14,747m : 13,813m Buy
AIA (01299.HK) -3.1%
BABA (09988.HK) -2.2%
CCB (00939.HK) -1.3%
MEITUAN (03690.HK) -1.2%
PING AN (02318.HK) -0.5%
HKEX (00388.HK) -0.4%
TENCENT (00700.HK) +0.1%
HSI & HSCEI Constituents on Move:
SINO BIOPHARM (01177.HK) +4.5%
GALAXY ENT (00027.HK) -4.5%
CHINA FEIHE (06186.HK) -4.2%
MENGNIU DAIRY (02319.HK) -4.2%
SMIC (00981.HK) +3.7%
TECHTRONIC IND (00669.HK) +3.6%
CHINA RES BEER (00291.HK) -3.4%
CNOOC (00883.HK) -3.4%
PETROCHINA (00857.HK) -3.2%
CHINA RES LAND (01109.HK) +3%
HSMI & HSSI Constituents on Move:HENGTEN NET (00136.HK) -22.7%
GOME RETAIL (00493.HK) -19%
CMBC CAPITAL (01141.HK) -14.6%
KASEN (00496.HK) -14.4%
SIHUAN PHARM (00460.HK) -14.2%
JS GLOBAL LIFE (01691.HK) +11.8%, hitting new high
COSCO SHIP HOLD (01919.HK) -10.4%
COSCO SHIP PORT (01199.HK) +9.8%, hitting new high
YANZHOU COAL (01171.HK) +5.9%, hitting new high
CHINA MER PORT (00144.HK) +3.4%, hitting new high
BOC AVIATION (02588.HK) +1.6%, hitting new high
MARKET HOURS NEWS
TENCENT (00700.HK) unveiled "Max the Robot Dog", the first home-grown four-legged robot with multimode software and hardware components created by the group's Robotics X Lab. The speed of wheeled motion can reach up to 25 km/ hour.
Grand Victoria, co-developed by Wheelock Properties, SINO LAND (00083.HK), K. WAH INT'L (00173.HK), SHIMAO GROUP (00813.HK) and SEA HOLDINGS (00251.HK), has uploaded the sales brochure, said Wheelock Managing Director Ricky Wong Kwong-yiu. The West Kowloon residential project will unveil the first price list soon, with wide range of sizes from one- to three-bedroom units. Grand Victoria Phase I is set to offer 524 units in total, he added.
Donald Choi, Executive Director and Group CEO at Chinachem Group, said the name of "L'Hotel" had been changed to "Nina Hospitality" in hopes of providing guests with more superior experience. Suffering loss last year, however, Chinachem's hotel business have swung into profit over the past two months, he added.
Japan's second-hand site Mercari announced the partnership with BABA-SW (09988.HK) under cross-national e-commerce build-up, where it will sell goods in China through BABA-SW's platforms, reported Nikkei Asia. Accordingly, some of Mercari's second-hand items will be available on Taobao and Xianyu (also known as "Idle Fish").
KUAISHOU-W (01024.HK) said it has investigated accounts which broke the rules of the platform, and slammed penalty on rule-breakers by ways of recommendation reduction, content deletion and account suspension. Since January, the company has dealt with 10,010 of such accounts, emphasizing it is steadfast in smashing improper online behavior, such as money worship, unrealistic comparison and contempt for wealth.
Geely and Baidu today formed a new JV with registered capital up to RMB2.0 billion, Chinese media reported. The company's business spans from technical services for new energy vehicles and related parts, manufacturing of auto parts and accessories, and sales of new energy vehicles etc., report said.
Road King has officially named the Southside Phase 1 as "SOUTHLAND", which will provide a total of 800 units. The Wong Chuk Hang project, still pending pre-sale consents, will be introduced once the consents are obtained, according to the developer.
Ant Group will eventually go public and look for ways to help its workers monetize their shares, foreign media citing Chairman Eric Jing's internal memo addressed to staff. The Chinese fintech firm is also working on a “short-term liquidity solution” for employees, which may take effect in April and come as a program to buy back some shares from the employees, said insiders.
The Government reminded people belonging to the five priority groups that they can make reservations through the online booking system on the designated website of the COVID-19 Vaccination Programme (www.covidvaccine.gov.hk) starting from 9am tomorrow (March 3), for receiving the Comirnaty vaccine at the seven Community Vaccination Centres operated by the Hospital Authority for the period from March 10 to 30.
The market expects Tesla to further expand its gigafactory in Shanghai, said Chinese media, after the Shanghai government had announced in a recent notice transfer of a land parcel situated next to the factory to the EV maker.
K11 Musea Ceased the Lease of Mr. Ming's Chinese Dining, May Reopen Mall on Sat. The fresh air transmission of Mr. Ming's Chinese Dining was below standard, as K11 Group's spokesman cited Yuen Kwok-yung, an expert adviser to the government. K11 Musea had stringently followed up on the incident without delay, poised to terminate the lease of Mr. Ming's Chinese Dining. K11 Musea was basically safe, said Yuen after yesterday's site inspection. Accordingly, the Group is gearing up for the mall's reopening on Saturday (6th).
BAIC BluePark (600733.SH) declared the launch of the ARCFOX HBT series in collaboration with Huawei. The first model, equipped with Huawei's brand-new smart car solutions, will make a debut at Auto Shanghai in April.
ZTE (00763.HK) revealed to ETSI its third ranking in the global 5G declared Standard-Essential Patent ch
TSMC plans to build six plants in Arizona as the Taiwanese chipmaker ramps up its manufacture capacity in the U.S., Taiwan Economic Daily learnt from insiders.
Financial Secretary Paul Chan told Bloomberg that the Government is exploring allowing listing of special purpose acquisition companies (SPAC) in the city. HKEX (00388.HK) and financial regulators have been told to look into having SPACs list in a bid to allow new fundraising arrangements and to uphold investors protection, said Chan. Yet no timetable has been provided.
XIAOMI-W (01810.HK) named the global edition of its Redmi K40 model as "Poco F3", having received approval from the U.S. Federal Communications Commission (FCC), Chinese media reported.
France's SFR and Bouygues Telecom have started removing Huawei's network equipment, foreign media reported. While Paris did not impose a total ban on the Chinese vendor, it warned of not renewing operators' licenses for Huawei equipment. French telecom operators have begun removing Huawei’s 4G gear from big cities like Toulouse and Rennes.
China Development Bank (CDB) plans to inject over RMB400 billion of loans for strategic emerging sectors and advanced manufacturing industries, China Business Network citing CDB Chairman Zhao Huan. The bank will continue to ramp up equity investment in IC, advanced manufacturing as well as science, technology and innovation fields by over RMB50 billion this year.
At the result release conference, XINYI GLASS (00868.HK) CEO Dong Qingshi said China's float glass supply approximated 50 million tons last year. He projected the supply volume to jump by 3% to around 51.5 million tons this year. In addition, Dong envisioned better float glass ASP this year than in the previous year.A
t lunchtime LIFESTYLE INT'L (01212.HK)announced annual results ended December 2020. Revenue declined 43.7% yearly to HK$1.993 billion. Net profit amounted to HK$139 million, down 92.7%. EPS equaled HK9 cents. No final dividend was declared.
At lunch LEE & MAN PAPER (02314.HK) announced annual result ended December 2020. The net profit amounted to HK$3.524 billion, up 8.9% yearly. EPS was HK80.99 cents. A final dividend of HK18 cents was declared against a dividend of HK13 cents in the corresponding period of the previous year.
MTR CORPORATION (00066.HK), Goldin Properties Holdings Limited and GREAT EAGLE H (00041.HK) announced for the Ho Man Tin Station Package One Property Development project, a novation agreement has been reached. The Corporation will work together with Great Eagle Group to bring this project to completion.
At lunch L & M CHEMICAL (00746.HK) announced annual result ended December 2020. The net profit amounted to HK$503 million, down 28.3% yearly. EPS was HK60.9 cents. A final dividend of HK16.5 cents was declared.
Financial Secretary Paul Chan told Bloomberg that the Government’s decision to revise up the stamp duty on stock trading is not going to harm the financial hub's competitiveness, but it is not at this time planning any more increase. He will continue to monitor the market situation and will not commit one way or the other, added Chan.
TSMC (TSM.US) is on track to start producing 3-nm chips during the second half of 2022, with a plan to process 55,000 per month, said foreign media.
The Urban Renewal Authority (URA) will see a "big harvest" this year, possibly providing more than 3,000 units, revealed Secretary for Development Michael Wong in a radio program. He is confident in meeting the full-year private home supply target of 12,900 units. URA has shifted to a district-based planning strategy since 2016. While it takes time for land and rehousing arrangements, Wong envisioned sophisticated projects in the coming years with unit supply by then.
Ant Group has shelved the share incentive program for its current and departing staff, partly due to overhangs to its valuation, executives familiar with the matter were quoted as saying by Bloomberg. The Chinese fintech firm failed to reach a consensus during a recent meeting that seeks to reboot the scheme, said the insiders.
Huawei CFO Sabrina Meng Wanzhou’s U.S. extradition hearing resumed in the Supreme Court of British Columbia in Canada. Defense lawyer rebutted accusations that Meng had misled HSBC HOLDINGS (00005.HK) adding HSBC's global client relationship manager in charge of overseeing dealings with Huawei was aware of the latter's control over Skycom Tech’s accounts.
As of end-2020, the number of registered users of WeChat Pay HK e-Wallet exceeded 3.8 million, supporting almost 80,000 Hong Kong merchants and nearly 1 million Mainland Chinese merchants.
While the world is starting to see data that vaccines are controlling novel coronavirus, it remains premature and unrealistic to think the pandemic is going to finish by end of the year, warned WHO's Health Emergencies Program Executive Director Michael Ryan.
SMIC (00981.HK) is permitted to obtain supply from some American manufacturers, primarily involving semiconductor equipment for mature processes, Chinese media cited sources. Media also reported that the company has leapfrogged its chip processing technology to 3nm from 20nm; and all it needs now is EUV lithography machine, with which a mass production for 3nm chips can be realized.
Baidu (BIDU.US) is seeking to be given green light for its listing hearing as soon as this week, or next, as the Chinese search engine targets to finish its US$5-billion secondary listing in Hong Kong in March, Chinese media reported. Another Chinese concept stock Bilibili (BILI.US) also predicted to run its listing hearing next week, modeled to fetch approximately US$3 billion, said the report.
The US National Security Commission on Artificial Intelligence (NSCAI), led by Google ex-chairman Eric Schmidt, suggested in a report the U.S. Congress should tighten "choke points" on chip technology so as to deter China from surpassing the U.S. sector-wide. Equally, the report recommended formalizing the related American policy into a long-term regulatory practice of restricting China’s chip sector to two generations behind the U.S.
Chinese blockchain firm SOS (SOS.US) refuted that the allegations by short-sellers Hindenburg Research and Culper Research were distorted and unsubstantiated. Previously, the two short-sellers had issued reports, accusing SOS of making false statements about its business and having regulatory risks. SOS' price slumped 23% on the reports last Friday, before ticking up 40% overnight.
STANCHART (02888.HK) announced that on 1 March 2021, it had through BofA Securities repurchased more than 1.5171 million ordinary shares at a weighted average price of GBX476.3932 per share.
Nio (NIO.US)'s loss narrowed to RMB1.39 billion in the fourth quarter of 2020. Nio expected deliveries of 20,000-20,500 cars for the first quarter of 2021, up 15%-18% quarterly. On the results release, Nio's price tumbled 4.14% after market close.
PRE MARKET HOURS NEWS
The Financial Leaders Forum held its 15th meeting on March 1, at which members were briefed by the SFC and HKEX (00388.HK) on the latest development of special purpose acquisition companies (SPACs) in the global financial market. The two institutes were asked to explore suitable listing regimes to enhance the competitiveness of Hong Kong as an international financial center, while safeguarding the interests of the investing public. The members were briefed by the Insurance Authority (IA) on the vision and strategies to promote the competitiveness and sustainability of the insurance sector in Hong Kong and updated by the Financial Services and the Treasury Bureau and financial regulators on the latest progress in promoting green and sustainable finance in Hong Kong.
Rosewood Hotel Group has engaged Credit Suisse and UBS in leading a special purpose acquisition company (SPAC) listing in the US, Reuters citing insiders. The Group intends to raise around US$400 million. NEW WORLD DEV (00017.HK) CEO Adrian Cheng is reportedly planning an SPAC establishment for listing in the US of a similar size; it was reported yesterday and Li Ka Shing has also been reported as launching one.
The US-listed China-concept stock Autohome, having passed the listing hearing in Hong Kong, is expected to initiate public offering soon, as revealed by the Stock Exchange's data. The joint sponsors are CICC, Goldman Sachs and Credit Suisse. Rumor had earlier spread that the company tends to raise approximately US$1 billion. Autohome's substantial shareholder is Yun Chen Capital, an affiliate of PING AN (02318.HK) , holding approximately 49% stake in Autohome pre-listing.
WHO Director-General Tedros Adhanom Ghebreyesus said the number of COVID-19 cases sprang back globally last week for the first time in seven weeks. On another note, Finland declared a state of emergency due to deteriorating COVID-19 conditions. The country's incidence rate rose from 46 cases per 100,000 people to 62 cases in the past two weeks.
GOME RETAIL (00493.HK) announced that it proposed to place approximately 2.28 billion shares by way of top-up transactions at $1.97 per share, representing a discount of 15.09% to the closing price as quoted yesterday. The company predicted the placing to raise net proceeds of about $4.449 billion.
China's Dalian Commodity Exchange registered an all-time high for soybean
futures yesterday (1 March). Dalian's May soybean futures once gained 2.5% intraday to RMB6,058 per ton. Analysis attributed this to stifled soybean supply in China and forecast reduction in planting area of some farmers.
HAIDILAO (06862.HK) profit warning. The Group is expected to record a decrease of approximately 90% in net profit for 2020, as compared to the net profit for 2019 of RMB2.347 billion. This was mainly attributable to the significant impact on the operations of the Group caused by the outbreak of the 2019 Novel Coronavirus and the subsequent disease prevention measures as well as restrictions on consuming places imposed by countries and regions around the world, and the net foreign exchange loss of approximately RMB235 million due to fluctuations in the foreign exchange rate between US dollar and RMB.
XINYI GLASS (00868.HK) announced the results for the year ended 31 December 2020. Net profit rose 43.4% yearly to $6.422 billion with EPS of 159.5 cents. A final dividend of 62 cents was declared, against 30 cents in the same period of the previous year.
JS GLOBAL LIFE (01691.HK) positive profit alert, expecting consolidated profit of not less than US$385 million for the year ended December 31, 2020, up around 3.5 times from US$85 million for the year ended December 31, 2019.
PSBC (01658.HK) announced that its application for the Non-public Issuance of A Shares has been reviewed and approved by the Issuance Examination Committee of China Securities Regulatory Commission (CSRC).