Northbound funds | "Be Water achieved a net selling of 3.222 billion in KB LAMINATES (01888) and raised prices for the fifth time this year. Be Water aggressively acquired more than 3.8 billion Hong Kong dollars throughout the day."

On June 17th, in the Hong Kong stock market, the net sales by BeiShui totalled 3.222 billion Hong Kong dollars. Among them, the net sales through the Shanghai-Hong Kong Stock Connect totalled 1.037 billion Hong Kong dollars, while the net sales through the Shenzhen-Hong Kong Stock Connect totalled 2.185 billion Hong Kong dollars. The stocks with the highest net purchases by BeiShui were KB LAMINATES (01888), KINGBOARD HLDG (00148), and KNOWLEDGE ATLAS (02513). The stocks with the highest net sales by BeiShui were BABA-W (09988), CNOOC (00883), and Tencent (00700). Active trading stocks through the Shanghai-Hong Kong Stock Connect Active trading stocks through the Shenzhen-Hong Kong Stock Connect BeiShui continued to aggressively buy shares of KB LAMINATES (01888) and KINGBOARD HLDG (00148), with net purchases totalling 3.874 billion and 1.821 billion Hong Kong dollars respectively. On June 16th, KB LAMINATES issued another price increase letter due to the high copper prices, continuous rise in glass cloth prices, and tight supply, resulting in a sharp increase in the cost of copper clad boards. The company raised prices by 15% for all FR-4 and PP products. This is the fifth price increase by Juntao this year, with a cumulative increase of over 50%. Citigroup previously raised profit forecasts for KINGBOARD HLDG for 2026 to 2028 by 34% to 53%, mainly benefiting from the unexpected rise in electronic glass fiber cloth prices for KB LAMINATES. KNOWLEDGE ATLAS (02513) received a net purchase of 839 million Hong Kong dollars. KNOWLEDGE ATLAS has launched its latest flagship model GLM-5.2. Credit Suisse believes that the launch of the GLM-5.2 will have a positive impact and may enhance the company's pricing power in subsequent subscription plans, which is expected to continue to drive strong annual recurring revenue growth. CICC stated that due to the rapid iterative capabilities of KNOWLEDGE ATLAS models, which have exceeded market expectations, they are optimistic about the long-term release of the company's API. GigaDevice Semiconductor Inc. (03986) received a net purchase of 61.43 million Hong Kong dollars. HSBC Qianhai Securities issued a research report stating that DDR4/LPDDR4 supply is still insufficient. With a stable relationship with ChangXin Memory, the company is one of the few companies that can expand DDR4 capacity between 2026 and 2028. The bank also believes that the company's customized DRAM products for automotive and AI applications are expected to contribute to profits in the second half of 2026, consolidating the company's strategic layout in the high-value niche DRAM market, and supporting continued growth in average product prices. Tencent (00700) and BABA-W (09988) were net sold for 14.44 billion and 20.85 billion Hong Kong dollars respectively. CICC released a research report stating that the online platform sector has been relatively weak this year, facing short-term pressure in the consumption sector. The market narratives are further focusing on hardware and models, with the sector's valuation falling below the 25th percentile of historical valuations. In the context of low valuations, the bank believes that there is no need to be overly pessimistic and one should select stocks based on fundamentals that still have bright spots. CNOOC (00883) was net sold for 14.89 billion Hong Kong dollars. The US-Iran agreement has been reached, leading to consecutive drops in oil prices. The Hormuz Strait is expected to resume navigation, putting pressure on international oil prices. However, clearance and recovery of damaged production will take some time, and there is support for oil prices at lower levels. After the US signed a memorandum of understanding with Iran this week, Iran can now export its oil and fuel. In addition, YOFC (06869) and HUA HONG GRACE (01347) received net purchases of 57.78 million and 55.13 million Hong Kong dollars respectively.