Investment 28/11/2023

Hong Kong stocks were struggling. The Hang Seng Index opened 118 points higher and reached a day high of 17,677 points. After that, it fell 201 points to a low of 17,358 points. It gradually recovered its losses in the afternoon and closed at 17,525 points, down 34 points or 0.19%. The technology index rebounded by 6 points, or 0.17%, to close at 4,031 points, maintaining the 4,000-point mark. The main board's trading volume for the whole day was HK$75.9 billion. 

The decline in U.S. bond interest rates has stabilized. In addition, the U.S. dollar has not weakened further, and it is difficult for Hong Kong stocks to rebound. The Hang Seng Index is at the bottom of its recent rising channel, which is 17,400 points. The key to the market outlook is to maintain this level, while the top of the rising channel is around 18,000 points. The current trading volume in the market is relatively low, reflecting that there is not much selling pressure. Under conditions such as the U.S. interest rate hike cycle is expected to be completed, the market outlook is expected to break through this range. 

HSBC Global Research is optimistic that global inflation will fall slightly next year, and global central banks will begin to cut interest rates, which is expected to improve the investment environment next year. It has a target price of 19,890 points for the Hang Seng Index next year, a potential increase of more than 13% from yesterday's closing price. U.S. stocks performed well during the latest quarterly earnings period, making the market more hopeful about the performance of the stock market next year. Deutsche Bank estimates that the S&P 500 index is expected to rise to 5,100 points next year, equivalent to an increase of about 12% from current levels.

 European stock markets came under pressure, with British and French stocks falling 0.37%, and German stocks also falling 0.39%. 

After rising for four consecutive weeks, U.S. stocks consolidated at high levels on Monday. After the Dow opened slightly lower by 13 points, the decline expanded to as much as 109 points, reaching a low of 35,280 points. The S&P 500 index fell 0.29% at one point; the Nasdaq, which is dominated by technology stocks, once fell 0.32%. , then once turned up 0.38%; the VIX volatility index, commonly known as the "fear index", rebounded 6.58% from the low in 2020, once rising to 13.28, and then the rise slowed to 1.9%, to 12.7. 

 At the close of the U.S. market, the three major indexes all closed repeatedly on the soft side: the Dow retreated 56 points, or 0.16%, to 35,333 points; the S&P 500 fell 9 points, or 0.2%, to 4,550 points; the Nasdaq fell slightly, 10 points, or 0.07%, to 14,241 points.