HK Stocks Close Higher With HSTECH up 1.4%. SMIC Jumps 9.6%; JD-SW Rises 4.7%; Xiaomi Gains 1.8%; Vanke Falls 3%

On January 17, 2025, the Hong Kong stock market closed higher. The Hang Seng Index (HSI) rose by 0.31%, the Hang Seng China Enterprises Index (HSCEI) increased by 0.14%, the Hang Seng Tech Index (HSTECH) surged by 1.40%, and the Hang Seng China-Affiliated Corporations Index (HSCCI) climbed by 0.27%.

China’s economy expanded by 5% year on year in 2024, with an upswing in the final quarter of the year, as a flurry of stimulus measures kicked in and helped meet Beijing’s growth target.

Fourth-quarter GDP beats expectations with 5.4% growth, according to China’s National Bureau of Statistics. Reuters-polled economists had estimated a 5.0% growth in the final quarter.

That was faster growth compared with the 4.6% in the third quarter, 4.7% in the second quarter, 5.3% in the first quarter.

In terms of sectors, the semiconductor sector performed strongly, with SMIC rising by 9.58% and Hua Hong Semiconductor up by 4.95%. The aluminum sector also saw gains, with China Hongqiao increasing by 5.14%. However, the property management sector experienced a decline, with China Vanke falling by 8.44%.

Weimob rose 8%; Xiaomi rose 1.75%; Li Auto rose 1.6%.

JD-SW rose by 4.71% after launching a new "gift-giving" feature that allows users to purchase multiple gifts and send them to a WeChat group, where members can randomly receive different gifts. This feature also supports one-on-one gift-giving and gift return, with plans to expand the range of supported products.

Zijin Mining increased by 1.35% as the company announced plans to acquire a 24.82% stake in Tibet Mining for RMB 13.729 billion, gaining control of the company.

China Vanke fell by 3% after reports that the Shenzhen government has intervened in the company, with the CEO being detained by the police. This marks another instance of local government intervention in Guangdong-based real estate companies.

Bilibili-W dropped by 1.62%, influenced by the decline in US Treasury yields and lower-than-expected core inflation data, which led to a strong rebound in the US stock market.