Data reveals that on July 13th, the Hong Kong stock market saw a net inflow of HK$9.04 billion from mainland capital through the Stock Connect programs. Specifically, net buying via the Shanghai-Hong Kong Stock Connect amounted to HK$7.87 billion, while the Shenzhen-Hong Kong Stock Connect contributed a net inflow of HK$1.16 billion.
The stocks receiving the most substantial net purchases from mainland investors were Knowledge Atlas (02513), the Tracker Fund (02800), and NTES-S (09999). Conversely, the stocks with the highest net selling were KB LAMINATES (01888), Kingboard Holdings (00148), and Yangtze Optical Fibre and Cable (06869).
Top Net Purchases
Knowledge Atlas (02513) attracted a net buy of HK$4.74 billion. This follows an internal letter from the company's founder, Tang Jie, on July 11th titled "The Giant Wave Has Arrived." The core message outlined the company's "Touch High" plan for the next two years, focusing on pushing technological and algorithmic boundaries in areas like long-horizon tasks, autonomous agents, self-training, and model safety, rather than pursuing short-term application monetization.
The Tracker Fund (02800) saw a net inflow of HK$2.27 billion. Analysts note that the intensive reporting season for interim results in July and August is expected to shift market focus from style rotation to earnings validation, making a continuation of the extreme trends seen in Q2 less likely.
NTES-S (09999) received net buying of HK$1.53 billion. The company's inclusion in the Hong Kong Stock Connect Southbound Trading list, effective June 30th, is anticipated to boost its average daily turnover by approximately 60% to around RMB 3.4 billion. Further performance uplift is expected from a new product cycle anticipated in late 2026 to early 2027.
GigaDevice (03986) was another significant net purchase, attracting HK$827 million. This comes amidst a wave of declines in the memory chip sector. Company representatives attributed the recent stock price adjustment to high correlation with overseas markets, noting a similar ~30% decline to that of SK Hynix. They emphasized that the company's performance guidance is the most compelling evidence regarding its business outlook.
Divergence in Semiconductor Sector
Within the semiconductor space, Semiconductor Manufacturing International Corp (00981) saw a net buy of HK$479 million. In stark contrast, Hua Hong Semiconductor (01347) faced substantial net selling of HK$1.03 billion. Analysts have warned that limited pricing power for chipmakers suggests stocks may have risen excessively on AI spending optimism, noting a trend where hyperscale cloud providers are redesigning data center technology stacks to incorporate lower-cost, self-developed chips.
Notable Net Sales
KB LAMINATES (01888), Kingboard Holdings (00148), and Yangtze Optical Fibre and Cable (06869) were heavily sold, with net outflows of HK$3.21 billion, HK$1.84 billion, and HK$1.10 billion, respectively. Market observers suggest the sell-off in overseas AI hardware stocks stems from a reduction in crowded trades, as concerns grow over previously excessive speculative fervor, prompting collective risk-off positioning. Core sectors like semiconductors, AI computing, and optical modules had strong runs in H1, amassing significant paper profits and increasing short-term correction risks. The adjustment appears to have started with the year's top performers, characteristic of profit-taking behavior.
In other notable flows, Alibaba-SW (09988) received a net buy of HK$583 million, while Tencent (00700) experienced net selling of HK$230 million.