HK Stocks Close Down (Aug 1) | Hang Seng Index Drops 1.07%, Stablecoin Concept Sees Large Decline, Innospec (02577) Soars 30%

The Hong Kong stock market opened on a sour note in August, with the three major indexes continuing to fall. As of the closing bell, the Hang Seng Index dropped 1.07%, or 265.52 points, to 24,507.81; the Hang Seng Enterprises Index fell 0.88% to 8,804.42; and the Hang Seng Tech Index declined 1.02% to 5,397.40. Total trading volume for the day was HK$2546.74 billion.

East Wing Securities noted that market sentiment is likely to be affected by concerns over overseas risks going forward. One factor will be the continued rise of US assets, which may lead to a decrease in global funds' attention on Chinese assets; another will be expectations around tariff negotiations, with investors expecting more "slow" and "downward" adjustments.

Among blue-chip stocks, China Logistics (02057) led the pack. As of the closing bell, it rose 7.44% to HK$163.2, contributing 7.92 points to the Hang Seng Index. China National Offshore Oil Corporation Securities noted that the company's past-year performance has ensured a favorable competitive environment for the industry, and "anti-price wars" will continue to support policy continuity. In recent news, Yiwu postal authorities have lifted their minimum price to HK$1.10, expected to slow down price competition in other regions like Guangdong.

Other blue-chip stocks include: Sunny Optical (00968) rose 1.31% to HK$3.09, contributing 0.29 points to the Hang Seng Index; Baidu Group-SW (09888) rose 1.06% to HK$85.5, contributing 1.82 points to the Hang Seng Index; China Petroleum (00386) fell 5.87% to HK$4.33, dragging down the Hang Seng Index by 10.18 points; and China Oil (00857) fell 3.26% to HK$7.42, also contributing to a 8.32-point decline in the Hang Seng Index.

1. Individual logistics stocks bucked the trend. As of the closing bell, China Logistics (02057) rose 7.44% to HK$163.2; and J&T Express-W (01519) rose 2.52% to HK$10.58.

2. Solar stocks performed well. As of the closing bell, Kaiyuan New Energy (01108) rose 4.72% to HK$4.88; Fuyao Glass (06865) rose 4.31% to HK$10.66; Sunny Optical (00968) rose 1.31% to HK$3.09; and Xin Technology (01799) rose 1.05% to HK$6.72.

3. Stablecoin concept sees large decline. As of the closing bell, Yao Chi Securities Financial (01428) fell 19.78% to HK$11.84; Lianlian Digital (02598) fell 13.7% to HK$10.08; OSL Group (00863) fell 10.65% to HK$14.76; and Guotai Junan International (01788) fell 10.78% to HK$5.71.

4. Large-cap tech stocks saw mixed performance. As of the closing bell, Alibaba Group rose 2.73%; Meituan rose 1.06%; and Tencent Holdings dropped 2.73%. Logistics stocks saw some individual performances stand out: China Logistics rose 7.44%, and J&T Express-W rose 2.52%.

5. Opening up of new sectors. As of the closing bell, Great Wall Motor (00347) rose 4.62% to HK$1.48; BYD Auto (00250) rose 3.85% to HK$14.15; and Geely Auto (1757.HK) rose 2.42% to HK$23.25.