On April 16, Hong Kong's stock market saw net purchases of HK$4.291 billion by northbound capital. Specifically, the Shanghai-Hong Kong Stock Connect recorded net purchases of HK$3.507 billion, while the Shenzhen-Hong Kong Stock Connect recorded net purchases of HK$785 million.
The top stocks by net northbound purchases were the Tracker Fund (02800), Alibaba-W (09988), and CNOOC (00883). Conversely, Tencent (00700) and SMIC (00981) experienced the highest net selling.
The Tracker Fund attracted net purchases of HK$2.683 billion. Industrial Securities noted that despite potential geopolitical fluctuations, April may present a favorable window for bullish positions in Hong Kong stocks. Factors include a global shift from risk-off to risk-on sentiment in equity markets, a likely retreat in the US dollar as safe-haven demand and oil prices peak, and potential positive impacts from events such as the release of Tencent's Hunyuan and DeepSeek AI models, key meetings, and anticipated visits, which could reverse the current pessimistic valuations in Hong Kong stocks.
Alibaba-W saw net purchases of HK$858 million. On April 15, Alibaba's cloud division announced moderate price adjustments of 2% to 7% for certain Model Unit services on its Bailian AI platform, citing the need to ensure stable hardware supply, improve operational quality, and respond to changes in computing market costs. Additionally, Alibaba introduced a 3D world model named Happy Oyste, expanding its AI product portfolio targeting content creation sectors like gaming and film.
CNOOC received net purchases of HK$340 million. Market observers suggest that US restrictions on Iranian ports could accelerate the drawdown of global oil inventories. UBS Group indicated that if the Strait blockade persists until the end of April, international oil prices might reach $130 per barrel, significantly increasing global recession risks. Société Générale added that the blockade could further tighten short-term supplies, delaying market normalization expectations until mid-May.
POP MART (09992) garnered net purchases of HK$194 million. Recent attention followed prominent investor Duan Yongping's repeated mentions of the company, including a statement declaring himself a "fan of Wang Ning" and announcing the "opening of his POP MART insurance company," leading market analysts to speculate that he has begun positioning in POP MART through put options.
Xunce (03317) attracted net purchases of HK$108 million. The company recently signed a strategic cooperation agreement with the national-level Shenzhen Data Exchange, marking a shift toward regulated exports for Chinese tokens. As a national data trading infrastructure, the exchange is establishing compliant channels for cross-border data flow, providing Xunce with a unique "data passport" to facilitate standardized token exports.
Tencent faced net selling of HK$521 million. Daiwa Capital Markets downgraded its first-quarter revenue forecast for Tencent's domestic games, citing a shorter revenue recognition window due to the later 2026 Spring Festival and a high comparison base from the previous year. However, data from SensorTower showed a 12% quarter-on-quarter increase in domestic game revenue, with an expected reacceleration in the second quarter as timing effects diminish and new games contribute.
Additionally, Deepexi Technology (01384) and YOFC (06869) received net purchases of HK$43.85 million and HK$16.47 million, respectively, while SMIC experienced net selling of HK$57.68 million.