AI and Chip Strength Lifts Hang Seng Tech Index 2.2%
AI and semiconductor equities drove a 146-point gain in the Hang Seng Index, with the tech-focused benchmark surging 2.2% on robust sector performance.
The Hang Seng Index closed Friday at 24,750, up 146 points or 0.6%, on turnover of HK$266.5 billion. The Hang Seng Tech Index led the market with a 2.2% gain, outperforming the broader index and the China Enterprises Index, which rose 0.61% to 8,225. This daily strength contrasts with the weekly performance, where the Hang Seng Index fell 0.2%, while the tech index gained nearly 2% over the five-day period.
AI large-model developers and hardware manufacturers were the primary drivers of the rally. MINIMAX-W surged nearly 19%, and Zhipu gained over 5%, reflecting investor focus on generative AI capabilities. In the hardware segment, Lenovo Group climbed 9.5% to a fresh stage high, becoming the best-performing Hang Seng constituent. The sector momentum was supported by overnight gains in U.S. semiconductor and memory stocks, which provided a positive backdrop for Asian tech markets.
Semiconductor Makers Post Broad Gains
Chip manufacturers posted widespread advances, reinforcing the tech-led market move. Axera Semiconductor rose over 16%, while GigaDevice and HG Semiconductor each climbed more than 9%. The two major foundry bellwethers, Hua Hong Semiconductor and SMIC, both advanced over 4%, indicating strong demand signals across the production chain. This broad-based strength in semiconductors helped offset mixed results in other large-cap internet names.
Internet Giants Show Mixed Performance
Large-cap internet stocks displayed divergent trends. Alibaba rose nearly 4%, the strongest performer among the major platforms, while Tencent fell almost 2% and Baidu edged lower. In financials, HSBC Holdings gained more than 1% and China Life Insurance climbed nearly 3%. Property developers also saw gains, with Sunac China surging over 9% in the afternoon session. Conversely, coal, oil, and banking stocks remained relatively weak, indicating continued sector rotation toward technology and growth-oriented assets.
Institutional Focus on AI Commercialization
CITIC Securities noted that trading activity is expected to center on AI progress and earnings visibility in core business units. The firm highlighted catalysts such as model iteration, AI agent penetration, and commercialization at leading internet companies as key drivers. However, the brokerage cautioned that macroeconomic slowdown, U.S.-China tensions, and liquidity risks remain potential headwinds. As reported by GN stocks/chips, the market is currently balancing optimism over AI adoption with persistent geopolitical and economic uncertainties.
