Little Changed On The Day

Major indices were little changed during the final session of the week, with the CSI 300 +0.2% and the Hang Seng -0.1%.

• Macro commentary in the state-run media included a focus on a continued recovery in exports in December, based on comments made by analysts and a business survey.
• There was also some focus on the potential long term positive impact on capital markets stemming from China’s national social security fund reforms.
• A reminder that headlines covering the pre-CEWC Politburo meeting hit after the close. The most notable soundbite probably came in the form of the readout dropping the word “forceful” from the verses surrounding monetary policy, with a focus on flexible and appropriate settings now stressed.
• Airline and tourism names benefitted from China and the EU agreeing to resume flights.
• AI-linked names continued to rally on the back of broader developments in the sphere.
• Property sub-indices shed over 1%, with familiar sources of worry noted there.
• HK-China Stock Connect flows were essentially flat when it came to mainland impulses, with a very modest round of net buying seen.