US stocks fell with the Nasdaq down 1.7%, while the Hong Kong market continued to fluctuate within a range

The three major U.S. stock indices fell on Friday, dragged down by a sharp drop in Broadcom's stock price, with the Dow down 0.5%, the S&P 500 down 1.1%, and the Nasdaq down 1.7%. However, for the week, the Dow still rose nearly 1%, while the S&P 500 and Nasdaq fell 0.6% and 1.6%, respectively. The Golden Dragon Index, which reflects the performance of Chinese concept stocks, fell slightly by 0.3%.

As for the Chinese and Hong Kong stock markets, A-shares performed well on Friday, with the Shanghai Composite Index up 0.41% and the Shenzhen Component Index up 0.84%, closing at 3,889 and 13,258 points, respectively, with a total turnover of over 2 trillion yuan. For the week, the Shanghai Composite Index fell by more than 0.3%, while the Shenzhen Component Index rose by about 0.8%. Hong Kong stocks also performed well on Friday, with the Hang Seng Index rebounding significantly and once again reaching above 26,000 points, finally closing at 25,976 points, up 446 points or 1.75%. The Hang Seng Tech Index also rose by 1.87%, closing at 5,638 points, with a daily turnover of 242.7 billion yuan. For the week, both the Hang Seng Index and the Hang Seng Tech Index fell by about 0.3%.

With the significant rebound in the Hang Seng Index, the market trend has improved again, but it still failed to break the range of 25,200-26,300 points. This week, the mainland will release a series of important economic data. If A-shares continue to perform well, Hong Kong stocks are also expected to gain support. However, in the absence of substantial positive catalysts, the Hang Seng Index is unlikely to make a major breakthrough for the time being. After all, the Hang Seng Index has repeatedly failed to challenge the level above 26,000 points in recent months, but it has seen good support near 25,200 points. With the long Christmas holiday approaching, it is expected that the Hang Seng Index will continue to fluctuate narrowly as trading gradually becomes quieter.

Source: Bright Smart Securities