The three major Hong Kong stock indices rebounded collectively today, with the Hang Seng Index successfully reclaiming the 23,000-point level and the Hang Seng TECH Index rising over 4% at one point.

At the close, the Hang Seng Index was up 1.57% or 354.82 points at 23,026.68, with a full-day turnover of HK$315.379 billion.

The Hang Seng China Enterprises Index rose 1.94% to 7,605.34, and the Hang Seng TECH Index climbed 3.23% to 4,393.01.

Blue-Chip Performance

NetEase, Inc. (HKEX: 09999) continued its upward momentum, closing up 6.35% at HK$199.4 with a turnover of HK$3.119 billion, contributing 28.78 points to the Hang Seng Index.

NetEase will transition to a dual-primary listing on the Hong Kong Stock Exchange starting June 30.

J.P. Morgan expects NetEase to become eligible for inclusion in the Stock Connect program on the same day.

Additionally, NetEase's game "Forgotten Sea" will begin its PC open beta on July 9, with the mobile version launching in July.

Among other blue chips, CSPC Pharmaceutical Group Limited (HKEX: 01093) rose 6.88% to HK$7.15, contributing 5.61 points.

WuXi Biologics (Cayman) Inc. (HKEX: 02269) gained 6.78% to HK$35.28, contributing 13.52 points.

Chow Tai Fook Jewellery Group Limited (HKEX: 01929) fell 1.68% to HK$11.10, dragging the index down by 0.57 points.

Bank of China (Hong Kong) Limited (HKEX: 02388) declined 1.59% to HK$43.60, pulling the index down by 4.11 points.

Key Market Sectors

In terms of market performance, most major technology stocks advanced, with NetEase up over 6%, Baidu, Inc. (HKEX: 09888) and Meituan (HKEX: 03690) rising over 5%, and Alibaba Group Holding Limited (HKEX: 09988) gaining nearly 4%.

The concept of innovative drugs remained strong throughout the session after 557 drugs passed the preliminary review for the 2026 National Reimbursement Drug List (NRDL).

Memory and power semiconductors were among the top gainers, with GigaDevice Semiconductor (Beijing) Inc. (HKEX: 03986) surging over 14% to a new high.

European heatwaves boosted expectations for air conditioner exports, lifting home appliance stocks.

Consumer sectors like cosmetics, tourism, and food & beverage were also active.

On the other side, PCB and optical communication stocks faced downward pressure.

1. Pharmaceutical Stocks Show Strength

Pharmaceutical stocks remained strong all day.

At the close, Remegen Co., Ltd. (HKEX: 09995) was up 14.43% at HK$79.70; KeyMed Biosciences Inc. (HKEX: 02162) rose 14.13% to HK$73.10; Akeso, Inc. (HKEX: 09926) gained 10.03% to HK$91.65; and Innovent Biologics, Inc. (HKEX: 01801) increased 6.52% to HK$80.05.

According to the National Healthcare Security Administration (NHSA), 557 drugs passed the preliminary review for the NRDL on June 29, and 54 drugs passed the preliminary review for the commercial insurance innovative drug directory, marking the entry into a substantive stage of "NRDL + commercial insurance" dual-directory negotiations.

New mechanisms such as pre-application and an 8-year price protection period were also implemented simultaneously.

2. Semiconductor Stocks Lead Gains

Semiconductor stocks were among the top performers.

At the close, GigaDevice Semiconductor (Beijing) Inc. (HKEX: 03986) surged 14.59% to HK$1,241.00; Hua Hong Semiconductor Limited (HKEX: 01347) rose 7.76% to HK$204.20; Semiconductor Manufacturing International Corporation (HKEX: 00981) gained 6.00% to HK$84.80; and Tianyusheng Semiconductor Co., Ltd. (HKEX: 02658) increased 5.95% to HK$48.40.

Nearly 20 global analog and power semiconductor companies are set to initiate a new round of price hikes starting July 1, following multiple stepwise adjustments this year.

Many manufacturers report full order books and significantly improved capacity visibility.

Analysis indicates the core driver of this round of price increases is the cost pressure from rising wafer fab and raw material prices, resonating with the surging demand for power chips driven by AI data center construction.

Separate reports citing six informed sources suggest that Apple Inc. is lobbying the U.S. government to allow it to purchase memory chips from ChangXin Memory Technologies (CXMT) to mitigate cost pressures from memory chip price hikes.

3. Appliance Stocks Mostly Higher

Most home appliance stocks moved higher.

At the close, Hisense Home Appliances Group Co., Ltd. (HKEX: 00921) rose 7.00% to HK$26.30; Midea Group Co., Ltd. (HKEX: 00300) gained 4.60% to HK$84.05; and Haier Smart Home Co., Ltd. (HKEX: 06690) increased 3.15% to HK$20.32.

Recently, many parts of Europe have experienced persistent high temperatures, breaking records and triggering heat warnings.

Amid the heatwave, sales of Chinese-made cooling products like portable air conditioners and fans have surged, even leading to shortages.

Sales data from Hisense Air Conditioner shows that in the first six months of this year, its sales in Western Europe grew over 20% year-on-year, with the French market exceeding 100% growth.

Furthermore, Hisense's portable air conditioners have been selling out in several European countries including Germany and France.

Midea Group responded to media today, stating: "The heatwave has significantly boosted sales growth, especially for PortaSplit air conditioners, which are already sold out in some sales channels."

Notable Stock Movers

Three new stocks debuted on the same day.

At the close, Baige Digital Technology Co., Ltd. (HKEX: 02672) skyrocketed 367.95% to HK$73.00; Leybond Pharmaceutical-B (HKEX: 09637) surged 103.54% to HK$46.00; and Haiguang Core Technology Co., Ltd. (HKEX: 01191) jumped 44.74% to HK$165.00.

On June 29, three companies from the fintech, AI photonics hardware, and biopharmaceutical sectors simultaneously listed on the main board of the Hong Kong Stock Exchange: Baige Digital, Haiguang Core Technology, and Leybond Pharmaceutical.

Among them, Baige Digital, dubbed the "first AI scenario insurance stock," soared over 360%, topping the gains among the three new listings.

Jiangsu Aosaikang Pharmaceutical Co., Ltd. (HKEX: 02617) staged a strong rebound, closing up 39.78% at HK$12.72.

The company announced its intention to conduct a share buyback in the market under a general mandate, with a maximum total amount of RMB 100 million or its equivalent in Hong Kong dollars for H-shares.

The company stated the buyback would be funded by legally permissible funds, and the repurchased H-shares would subsequently be cancelled, held as treasury shares, sold, or transferred.

Xun Chi Technology Holdings Limited (HKEX: 03317) climbed significantly, closing up 15.92% at HK$119.40.

On June 26, a brokerage initiated coverage on Xun Chi with a "Buy" rating, with "Token Economy Opening a Second Growth Curve" as the core theme.

The report confirmed the company achieved its first half-year profit (adjusted net profit of RMB 50.13 million) in the second half of 2025, with full-year revenue of RMB 12.85 billion, up 103% year-on-year, and the proportion of diversified business revenue jumping to 80%.

Baidu, Inc. (HKEX: 09888) performed strongly, closing up 5.62% at HK$104.30.

Media reports indicate that Baidu's AI chip subsidiary, Kunlunxin, plans to list in Hong Kong, targeting a valuation of $50 billion (approximately RMB 339.8 billion), and is requiring investors to commit to purchasing its chips.

Kunlunxin was originally Baidu's internal AI chip R&D department, spun off independently in April 2021.

China COSCO Shipping Energy Transportation Co., Ltd. (HKEX: 01138) fell again, closing down 9.39% at HK$15.25.

Recent renewed clashes between the U.S. and Iran reportedly stem from differing interpretations of a memorandum of understanding on ending the war, particularly regarding terms for passage through the Strait of Hormuz.

Following the brief conflict, media reported that the U.S. and Iran have agreed to stop attacking each other, with negotiations set to continue on the 30th in Doha, Qatar, focusing on the Strait of Hormuz issue.

Yangtze Optical Fibre and Cable Joint Stock Limited Company (HKEX: 06869) remained under pressure, closing down 4.47% at HK$239.40.

Since the beginning of the year, companies like Hengtong Optic-Electric, Far East股份, Tongding Interconnection, Hoshine Silicon, and Han's Laser have initiated plans to expand optical preform production capacity.

Additionally, Corning recently introduced its Glass Bridge glass-based optical interconnect solution.

The market believes the industry's profit structure will be reconfigured, with profits shifting from the midstream fiber manufacturing segment to the upstream glass substrate segment, triggering the current adjustment in the fiber optic sector.