Equity Rally Runs Out of Steam, Share Buy-Backs Reach Record High

After a strong start to trading in Asia today, Chinese and Hong Kong equities seem to have run out of steam, as tech names weigh on performance, this could be somewhat attributed to poor earning from SNAP late in the US session. Hong Kong equities trade in negative territory, while mainland China stock still hold onto gains for the day.

• As trading got underway in Asia, equity markets again ripped higher, HSI was at one point 2.4% higher but the gain were short lived and we quickly reversed the HSI is currently trading flat, while HS Tech is lower by 0.80% and mainland property index is 2.36% lower. China Mainland indices are faring slightly better today, with CSI 300 still holding onto gains to be 0.46% higher.
• Chinese companies have been ramping up their share buybacks after government authorities have pushed for companies to help support the slumping market, Chinese and Hong Kong listed companies spent 14b yuan repurchasing shares last month, the highest on record (BBG)
• In sector specific news, property names see further support after another government funding push, as the financial regulators call for a prompt implantation of financing coordination mechanism (BBG). While Chinese Vice Commerce minister held calls with US officials around concerns about US semiconductor control measures. This follows the meeting between China Vice Premier He Lifeng and US Treasury officials in Beijing on Tuesday (BBG). The talks included industrial policies and US concerns around over capacity