Hong Kong-listed aluminum stocks defy the trend with a surge, with China Aluminum International soaring 22%, while tech stocks all plummet.

Ask AI · How an Attack on a Middle East Aluminum Plant Could Disrupt the Global Supply Chain?

Reporter丨Jin Shan

Editor丨Jiang Peixia

On March 30, Hong Kong stocks opened lower and continued to decline. By the close, the Hang Seng Index fell 0.81%, and the Hang Seng Tech Index dropped 1.84%.

On the sector level, aluminum stocks rose against the trend. China Aluminum International gained more than 22%, Aluminum Corporation of China rose more than 7%, and Nanshan Aluminum International rose more than 7%. According to a report by Xinhua News Agency, two large aluminum plants in Bahrain and the United Arab Emirates, both in the Gulf region, have recently confirmed that they were attacked by Iran. Aluminum products exported from the Middle East account for about 10% of global supply, which may cause some impact on the market.

The gold sector also strengthened against the trend. Zijinmining rose more than 10%, World Gold Group rose more than 9%, and Lingbao Gold rose more than 7%.

On the downside, large internet-related tech stocks fell across the board. Haier Smart Home dropped more than 5%, BYD Electronic and XPeng Motors fell more than 4%, and Kingsoft Software, Kingdee International, Midea Group, Bilibili, and others fell more than 3%.

In addition, multiple stocks in the auto sector declined. GAC Group fell more than 6%, and Great Wall Motor dropped more than 5%.

A CITIC Securities research report said that in the short term, the combination of a strong U.S. dollar environment and controversy surrounding AI applications has led some internet companies to cut their earnings forecasts due to the “food delivery wars.” Hong Kong stocks have continued to adjust. Since March, against the backdrop of escalating developments in the Middle East, global capital has moved into a “risk-avoidance mode.” Global market risk appetite has declined, and equity markets have been hit noticeably. Combined with market concerns about “second-round inflation” triggered by rising energy prices, Hong Kong stocks, as an offshore risk asset, have faced direct downward pressure. Looking at the medium to long term, many high-quality A-share companies in China that have characteristics of new productive forces, along with niche leading firms, have been listing in Hong Kong. The composition structure of Hong Kong’s asset pool is undergoing fundamental optimization. The listing of high-quality assets is expected to attract global capital to increase allocations to Hong Kong assets.

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(Statement: The article is for reference only and does not constitute investment advice. Investors act at their own risk.)

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