【Top News】 CSRC Chairman Wu Qing stated at the 2025 Financial Street Forum on October 27 that China will optimize the Stock Connect mechanism, improve overseas listing filings, and deepen practical cooperation between mainland and Hong Kong markets. The goal is to foster a new development paradigm balancing onshore-offshore synergy and open-security dynamics. Wu highlighted the growing preference for stability and balance in asset allocation amid global risk repricing, noting the ongoing revaluation of Chinese assets like A-shares and HK stocks.
The newly launched *Qualified Foreign Investor (QFII) Optimization Plan* introduces streamlined access management, expanded investment scope, and efficiency enhancements. Key measures include integrated QFII approval-account opening and a "green channel" for long-term investors. UBS China Markets Head Fang Dongming praised the reforms for boosting market internationalization and investor participation.
【Market Outlook】 Hang Seng Index ADRs rose 0.34% to 26,523.81 points. Overnight, U.S. indices gained: Dow (+0.71%), S&P 500 (+1.23%), Nasdaq (+1.86%). Qualcomm surged 11% on AI chip developments, while Tesla and Google rose over 3%. COMEX gold fell 2.85% to $4,019.7/oz. Note: HK markets close Wednesday for Chung Yeung Festival, with Southbound Connect resuming October 30.
【Key Updates】 - **Hang Seng HK-Connect Financials Index** renamed to *Hang Seng HK-Connect China Financials Select Index*, with revised methodology capping constituents at 40 (effective Nov 3). - **Hong Kong property prices** extended gains for a 7th week, up 3.11% YTD. - **Chalco (02600)**: Q3 net profit jumped 90.31% YoY to RMB3.8B; subsidiary Yun Aluminum invested RMB500M in Yunnan Aluminum Foil. - **Novartis** transferred China rights for two ophthalmic drugs to **CMS Pharma (00867)** under a 5-year deal. - **China Coal Energy (01898)** acquired a 30% stake in a renewable energy firm for RMB115M. - **ANTA Sports (02020)**: Q3 brand sales grew low single-digits YoY. - **Postal Savings Bank (01658)** approved to establish a financial asset investment arm.
【Earnings Highlights】 - **China Southern Airlines (01055)**: Q3 profit up 20.26% to RMB3.84B. - **CanSino Biologics (06185)**: Turned to a net profit of RMB14.44M vs. prior-year loss. - **Hengrui Pharma (01276)**: 9M net profit rose 24.5% to RMB5.75B. - **Tsingtao Brewery (00168)**: 9M profit up 5.7% to RMB5.27B.
【IPO Watch】 - **DeepExi Tech (01384)**: Debuts Oct 28; gray market up 70.74%. - **Bama Tea (06980)**: Gray market +60.2%. - **Cambridge Tech (06166)**: Gray market +44.16%. - **Sany Heavy (06031)**: Gray market down 2.54%.
【Stock Focus: Chalco (02600)】 Q3 revenue dipped 4.66% to RMB60.12B, but net profit surged 90.31% on cost controls and operational efficiency. 9M profit reached RMB10.87B (+20.65% YoY).