Hong Kong's three major indices closed in negative territory today. The Hang Seng Index finished down 0.51% at 23,496.89 points, while the Hang Seng Tech Index declined 0.75% and the Hang Seng China Enterprises Index fell 0.54%.

Technology and internet stocks displayed a mixed performance. Kuaishou-W shares plunged more than 12%, and Bilibili Inc. dropped over 2%. In contrast, Meituan gained more than 4%, with Tencent Holdings Ltd. and Lenovo Group Ltd. both rising over 2%.

The semiconductor sector faced significant selling pressure. Gigadevice shares tumbled more than 12%. This weakness followed a sharp decline in South Korean markets, where the KOSPI index fell nearly 5%. Samsung Electronics reported a preliminary second-quarter operating profit that surged 19-fold year-over-year, surpassing its total profits from the past three years combined. Despite this, its stock price dropped over 10% during the trading session. Morgan Stanley strategist Michael Wilson drew an analogy between semiconductor stock movements and silver, noting both have experienced parabolic rises and possess commodity-like characteristics. He suggested the current correction may not be over, with memory chips being the most vulnerable.

PCB (Printed Circuit Board) concept stocks were among the biggest decliners. KB Laminates shares fell more than 5%. The sector was hit by news of delays for Nvidia's Kyber rack, impacting CCL (Copper Clad Laminate) and PCB suppliers. However, Bank of America analysts stated that the sell-off reflects a "demand contraction under supply constraints" rather than a trend reversal. They believe the supply-demand imbalance for high-end CCL and ABF (Ajinomoto Build-up Film) substrates will persist until at least the end of 2027. Given the low cost proportion and slow capacity expansion, the current price weakness could present a buying opportunity.

Gold stocks broadly declined. Chifeng Gold shares dropped over 4%. The U.S. June Services PMI dipped to 54 from 54.5 in May. While the employment index saw its largest increase this year, moving back into expansion territory, the prices paid index fell to a four-month low. The resilience in employment suggests the Federal Reserve may not be in a hurry to stimulate the economy through interest rate cuts. It is worth noting that U.S. Treasury yields have remained firm recently, with the 30-year yield briefly climbing back above 5%.