Investment 29/4/28024

The Hang Seng Index opened 51 points higher at 17,336 points, already the day's low. In the afternoon, the gain expanded to 473 points, reaching a high of 17,758 points, setting a new high for the year. It closed up 366 points, or 2.12%, at 17,651 points, rising for five consecutive trading days. It rose 1,427 points or 8.79%; the technology index rose 163 points or 4.61% to 3,718 points. Main board turnover increased significantly to HK$157.2 billion. 

The mainland has launched a number of rescue measures earlier, and the economic growth in the first quarter was better than expected, which triggered many major banks to turn optimistic about the Chinese economy and became a catalyst for the rise of the stock market. The China Securities Regulatory Commission recently announced five major measures to support Hong Kong's capital market, which also benefits the market sentiment in the short term. Although there has been a lot of gains last week, there will inevitably be pressure to retreat.However, as the technical indicators are still improving, it is expected that after the index consolidates sideways, if the Hang Seng Index can hold firmly at 17,200 points, it can be confirmed to break through the range since mid-February , climbing upward.

 According to trend analysis, the Hang Seng Index reached a low of 16,410 points and a high of 17,758 points last week. It rose by 1,427 points in a week, an increase of 8.8%, which was the largest increase in 12 years. The Hang Seng Index has just risen to near the 250-day line (17,717), while the RSI has not yet been overbought, and has broken through the complex head and shoulders bottom neckline, the downward channel since January, and the long-term downward track extended from February 2021 to the present. The long-term weakness is expected to be reversed, and it is expected to further challenge the 18,300 mark before making major adjustments. Based on the increase measured by the head and shoulders bottom, the midline target of the Hang Seng Index is 19,650.

 European stock markets rose across the board, with German stocks closing up 1.36% and performing better, while British and French stocks rose 0.75% and 0.89% respectively. 

The performance of two major technology companies, Microsoft and Alphabet, was outstanding, which was good for the market sentiment. U.S. stocks rebounded on Friday. After the Dow opened 28 points higher, the increase once expanded to 251 points, reaching a high of 38,337 points. The S&P 500 index once rose 1.31%, led by technology stocks. The main index's Nasdaq rebounded at most 2.37%. 

The U.S. stock market closed at 38,239 points, still up 153 points, or 0.4%; the S&P 500 rose 51 points, or 1.02%, to 5,099 points; the Nasdaq rose 316 points, or 2.03%, to 15,927 points.

 The U.S. dollar index once rose 0.56% to 106.19; the Bank of Japan hinted that it would not raise interest rates further in the short term, dragging the yen down below 158 per dollar for the first time since May 1990, hitting a low of 158.42, down 1.77%; the European Central Bank announced, In March, consumer inflation expectations for the next year in the Euro zone fell to 3% from 3.1% in February, hitting a new low since December 2021. Euro once fell 0.53% to US$1.0674. 

The continued depreciation of the yen has attracted many overseas tourists. However, since Japan basically imports energy and raw materials, the depreciation of the currency has pushed up production costs, causing the prices of domestic food and daily necessities in Japan to continue to rise. Amid the depreciation of the yen and high prices, real estate has been sought after by overseas investors as a physical asset to fight inflation, leading to a sharp rise in housing prices in Japan recently.​​​