(1) Stock Market News

- U.S. Market

The U.S. market closed with the Dow Jones falling by 65 points or 0.17% to 38,647 points; the S&P 500 fluctuated and rose by 0.23% to 5,433 points; the Nasdaq increased by 0.34% to 17,667 points; the Golden Dragon Index, which reflects the performance of Chinese concept stocks, rebounded by 0.28%.

- Hong Kong Market

Hong Kong's stock market ended a three-day losing streak, with the Hang Seng Index rising above 18,000 points. The Hang Seng Index closed up by 174 points, at 18,112 points. The total transaction volume for the day further reduced to over 107.3 billion yuan. The Technology Index rose by more than 1%, closing at 3,739 points.

- Mainland Market

The Shanghai Composite Index closed at 3,028 points, down by 8 points or 0.28%, with a transaction volume of 336.871 billion yuan. The Shenzhen Component Index closed at 9,206 points, down by 63 points or 0.69%, with a transaction volume of 415.603 billion yuan. The SSE 300 Index reported at 3,526 points, down by 17 points or 0.51%; the ChiNext Index reported at 1,777 points, down by 1 point or 0.09%.

(2) Economic News

- The Ministry of Commerce of China stated that several U.S. companies have filed a petition with the U.S. International Trade Commission (ITC), alleging that certain e-cigarette products exported to the U.S., imported into the U.S., or sold in the U.S. infringe upon patent rights, and have requested the initiation of a 337 investigation, along with the issuance of general exclusion orders, limited exclusion orders, and cease and desist orders. Companies from the U.S., China, the U.K., and 42 other companies are involved.

- The National Development and Reform Commission announced that, in accordance with the recent changes in international oil prices and the current mechanism for the formation of domestic refined oil prices, starting from tomorrow at midnight, the domestic prices of gasoline and diesel will be reduced by 190 yuan (RMB, same below) and 180 yuan per ton, respectively.

- The Federal Reserve maintained the federal funds rate target range at 5.25-5.5% as expected. The Hong Kong Monetary Authority stated that the Federal Reserve's future interest rate decisions will depend on economic data, outlook, and various risks, and the recent data trends are unclear, with inflation still high. The timing of the Federal Reserve's rate cuts remains uncertain. Overall, the high-interest environment may continue for some time.

- The Census and Statistics Department announced the provisional results of the "Quarterly Survey of Completed Construction Works", showing that in the first quarter of this year, the nominal total value of construction works completed by the main contractors in Hong Kong was 68.7 billion yuan, an increase of 8.7% year-on-year.

(3) Company News

- The International Data Corporation (IDC) conducted a test on 16 mainstream products from 11 large model manufacturers across 7 dimensions from basic to application capabilities. The results showed that Baidu's generative AI products, Wenxin Yiyan and Wenxin Yige, have a leading advantage in the basic capabilities of Q&A understanding, reasoning, creative expression, mathematics, and code, as well as in the application capabilities of general to C scenarios and specific to B industry scenarios.

- ZTE Corporation received an "outperform" rating from Guoxin Securities and has been the focus of 2 research reports in the past month. The reports predict that ZTE's business performance will continue to set new highs. The company is a rare global provider of end-to-end 5G equipment solutions, with products covering wireless, wired, cloud computing, terminal products, and professional communication services, and its business covers over 160 countries and regions. In 2023, the company achieved a revenue of 124.25 billion yuan (up 1.1% year-on-year), and a net profit attributable to the parent company of 9.33 billion yuan (up 15.4% year-on-year). The report predicts that the company's net profit attributable to the parent company will be 10.3/11.0/11.5 billion yuan for the years 2024 to 2026, respectively.

- Tencent Holdings spent about 1 billion Hong Kong dollars to repurchase 2.66 million shares on June 13, continuing the repurchase for the 19th consecutive day.

(4) Company Performance Announcements

- Chow Tai Fook (01929) earned more than 20% last year. For the fiscal year ending in March, Chow Tai Fook earned nearly 6.5 billion yuan, with a nearly 15% increase in revenue to 108.7 billion yuan, setting a new high, and a final dividend of 0.3 yuan per share. The group also announced that same-store sales in mainland China fell by 27% from April to May this year, while sales in Hong Kong and Macau fell by 32%.

- The chip group Broadcom announced that its net profit for the second quarter was 2.12 billion U.S. dollars, a 40% decrease year-on-year; adjusted earnings per share were 10.96 U.S. dollars, exceeding expectations of 10.84 U.S. dollars; revenue was 12.49 billion U.S. dollars, a 43% increase year-on-year, exceeding expectations of 12.03 billion U.S. dollars.