After the meeting between Xi and Trump, China and the U.S. announced only an extension of their trade truce until January 10 next year. However, U.S. Treasury Secretary Bessent did not clarify whether the two sides would reach a broader agreement, causing market concerns that the trade war might continue beyond the new deadline. Additionally, strong U.S. PMI data for September boosted expectations of interest rate hikes, with the market estimating over a 70% chance of a rate hike by the end of October. The yield on the U.S. 10-year Treasury bond surged past 5.1%.
With no significant positive outcomes from the Xi-Trump meeting and rising bond yields negatively impacting biotech firms' financing, the biotech sector came under pressure this morning. The healthcare sector has recorded net active selling of over HK$845 million, making it the sector with the largest net outflow. Biotech stocks declined collectively: Genscript Biotech (01548) fell 4.6% to HK$39.82; WuXi Biologics (02269) dropped 1.6% to HK$51.95; Insilico Medicine (03696) declined 3.8% to HK$56.45; XtalPi Holdings (02228) fell 2.9% to HK$8.145; XTAL Biotech-P (07666) plunged 9.7% to HK$15.7; Innovent Biologics (01801) dropped 3% to HK$100.3; and Akeso (09926) fell 4.1% to HK$93.55.
Currently, the Hang Seng Index stands at 24,700, down 133 points or 0.5%, with main board turnover exceeding HK$87.8 billion. The国企 Index is at 8,238, down 35 points or 0.4%. The Hang Seng Tech Index is at 4,334, down 44 points or 1%. The Biotech Index is at 15,862, down 465 points or 2.85%.
| Stock (Code) | Current Price (HK$) | Change (%) |
|---|---|---|
| Genscript Biotech (01548) | 39.82 | Down 4.65% |
| WuXi Biologics (02269) | 51.95 | Down 1.61% |
| WuXi AppTec (02359) | 206.60 | Down 0.48% |
| Pharmaron (03759) | 30.50 | Down 0.33% |
| Insilico Medicine (03696) | 56.45 | Down 3.75% |
| XtalPi Holdings (02228) | 8.145 | Down 2.86% |
| XTAL Biotech-P (07666) | 15.70 | Down 9.67% |
| Innovent Biologics (01801) | 100.30 | Down 3.00% |
| BeiGene (06160) | 214.80 | Down 1.56% |
| Akeso (09926) | 93.55 | Down 4.05% |
| China Biologic Products (01177) | 5.615 | Down 1.32% |
| CSPC Pharmaceutical Group (01093) | 9.435 | Down 2.23% |
| Hansoh Pharmaceutical (03692) | 33.74 | Down 3.43% |
