HKEX (00388) declined more than 4% during morning trading. As of press time, the stock fell 4.68% to HK$423.8, with trading volume reaching HK$3.623 billion.

According to a research report from Huatai Securities, gray rhino events have led to increased market volatility. The firm noted that short-term capital flows and market sentiment still have room for further release, suggesting that "TACO" trading strategies should be implemented in phases.

Galaxy Securities issued a research report stating that escalating China-US trade frictions have dampened investor risk appetite in the near term, driving down Hong Kong stock valuations. However, supported by domestic economic stabilization policies and medium-to-long-term capital market stabilization measures, investor sentiment is expected to gradually stabilize. With Hong Kong stock valuations currently at historically moderate-to-high levels, the market is anticipated to experience broad fluctuations going forward.

UBS released a research report indicating that HKEX will announce its third-quarter results early next month. The bank currently forecasts quarterly revenue and net profit to grow 43% and 53% year-on-year respectively, reaching HK$7.7 billion and HK$4.8 billion, setting new records. UBS's projections are 8% and 11% higher than general market expectations.

In response to market sentiment conditions and increased southbound capital participation, UBS has raised its average daily trading volume forecasts for 2025-2027 by 9% to 16%, and upgraded HKEX's earnings per share projections by 7% to 12%. The firm maintains a target price of HK$485 with a "Neutral" rating.