[ET Net News Agency, 30 July 2026] US-Iran tensions escalate coupled with the Federal Reserve maintaining hawkish expectations, Wall Street plunges sharply, while Asia-Pacific stock markets perform with mixed results. Following five consecutive bullish candles, the Hong Kong stock market sees a soft landing upon futures settlement today, with the HSI hitting a high of 25,971, failing to breach 26,000 before pulling back. However, the 250-day moving average (around 25,721) holds firm, closing the half-day session at 25,798, down 8 points or less than 0.1%, with Main Board turnover at nearly HKD 162.1 billion. The Hang Seng China Enterprises Index reports 8,633, up 9 points or 0.1%. The Hang Seng Tech Index reports 4,809, down 54 points or 1.1%.
"Nip Chun Pong: HSI to trade in a short-term range, hard to drop significantly ahead of mid-term results"
Overnight US stocks plummeted as the Federal Reserve maintained interest rates, though President Trump threatened in an interview to strike Iran hard, causing oil prices to surge. This, combined with the 30-year US Treasury yield breaking above 5.2%, added variables to the market. Nevertheless, Asia-Pacific stock markets did not follow the decline, with Korea and Japan rising together, while Hong Kong stock movements remained volatile. Nip Chun Pong, the Chief Strategist at Solo Securities, told ET Net News Agency that the HSI dropped nearly 10% in June and began a technical rebound at the beginning of July. In addition, Mainland China's total retail sales of consumer goods, one of the "three carriages", turned to a year-on-year increase of 1% in June, reversing May's decline and exceeding expectations. This drove consumer-related stocks to continue rebounding from low levels, supporting the continued rise of the HSI. Particularly after external AI and semiconductor-related stocks weakened, funds rotated into heavyweight tech stocks, pushing the HSI close to 26,000. Nip Chun Pong pointed out that since the HSI has accumulated a gain of over 3,000 points from last month's low, coupled with June's high near 26,000, resistance for the HSI at this level is expected to be relatively heavy.
However, Nip Chun Pong noted that as August is the peak season for mid-term results announcements, traditional tech stocks generally release their results in mid-to-late August. The market may focus on their newly announced data by then, and investors are more likely to take the opportunity to gradually unwind long positions after the major tech stocks announce their results. It is expected that from now until early August, the pullback magnitude of the HSI will not be large, with the index generally consolidating in a range between 25,500 and 26,000.
"Budweiser APAC posts good results and share price surges sharply, P/E ratio at 20x makes chasing highs risky"
Budweiser APAC (01876) announced that for the interim period ended 30 June 2026, it recorded a normalized EBITDA of USD 926 million, down 5.8% year-on-year; profit attributable to shareholders was USD 473 million, up 15.6% year-on-year, with no interim dividend declared. Excluding non-underlying items, normalized profit attributable to shareholders was USD 481 million, up 1.5% year-on-year.
Revenue for the period was USD 3.171 billion, an increase of 1.1% year-on-year, while the normalized EBITDA margin decreased from 31.3% to 29.2%. During the period, total sales volume in Mainland China was 42.424 billion litres, down 2.2% year-on-year, with sales volume in the second quarter alone dropping by 4.1% year-on-year. This was mainly dragged down by weak demand in Mainland China, though growth in the Korea and India operations partially offset the decline.
For the second quarter alone, the company recorded an unaudited year-on-year drop of 9.7% in Mainland China sales volume. However, overseas markets in Korea and India maintained growth momentum. Among them, Korea's market share continued to rise, with revenue management measures driving low single-digit growth in revenue per 100 litres; India benefited from strong demand for premium products and expanded market share, recording double-digit growth in revenue for both the second quarter and the first half of the year.
Nip Chun Pong stated that Budweiser APAC's strong results drove a sharp surge in its share price today. Although sales in the Mainland China market were relatively weak, the group achieved growth in Korea and India, partially offsetting the predicament of weak demand in Mainland China. In fact, as early as the announcement of last year's full-year results at the beginning of the year, the group had already indicated it would focus on the Korea and India markets. Less than half a year later, sales in both regions have yielded initial results, bringing greater hope to the group, hence the larger share price gain. Nevertheless, the stock has surged over 20% from the low of HKD 6 at the beginning of the month to today's high of HKD 7.6, and its P/E ratio has also risen to roughly 20-odd times. Subsequent upside room may be limited, and resistance is expected to be relatively heavy at HKD 8.
Nip Chun Pong pointed out that aside from Budweiser APAC's favourable results today, the Political Bureau meeting is reportedly being held these two days, and the market holds aspirations for central authorities to support domestic demand, wondering whether policies such as trade-ins and home appliances going to the countryside will be introduced as before. Consequently, the overall trend of the consumer sector has recently been relatively strong, with leaders Meituan (03690) and JD.com (09618) both rising to over-two-month highs. However, Nip Chun Pong believes that once expectations fall short after the meeting, it cannot be ruled out that consumer sector share prices will take the opportunity to pull back. Compared to food and beverage, home appliance stocks have lower P/E ratios. Taking Haier Smart Home (06690) as an example, although its share price has risen by 20% from its May low of HKD 19 to around HKD 23 currently, its P/E ratio remains below 10 times, and it may still have 8% to 10% potential upside in the future. However, once consumer stocks pull back collectively, it is expected to be difficult for it to stand alone.
"Nip Chun Pong: HSI to trade in a short-term range, hard to drop significantly ahead of mid-term results"
Overnight US stocks plummeted as the Federal Reserve maintained interest rates, though President Trump threatened in an interview to strike Iran hard, causing oil prices to surge. This, combined with the 30-year US Treasury yield breaking above 5.2%, added variables to the market. Nevertheless, Asia-Pacific stock markets did not follow the decline, with Korea and Japan rising together, while Hong Kong stock movements remained volatile. Nip Chun Pong, the Chief Strategist at Solo Securities, told ET Net News Agency that the HSI dropped nearly 10% in June and began a technical rebound at the beginning of July. In addition, Mainland China's total retail sales of consumer goods, one of the "three carriages", turned to a year-on-year increase of 1% in June, reversing May's decline and exceeding expectations. This drove consumer-related stocks to continue rebounding from low levels, supporting the continued rise of the HSI. Particularly after external AI and semiconductor-related stocks weakened, funds rotated into heavyweight tech stocks, pushing the HSI close to 26,000. Nip Chun Pong pointed out that since the HSI has accumulated a gain of over 3,000 points from last month's low, coupled with June's high near 26,000, resistance for the HSI at this level is expected to be relatively heavy.
However, Nip Chun Pong noted that as August is the peak season for mid-term results announcements, traditional tech stocks generally release their results in mid-to-late August. The market may focus on their newly announced data by then, and investors are more likely to take the opportunity to gradually unwind long positions after the major tech stocks announce their results. It is expected that from now until early August, the pullback magnitude of the HSI will not be large, with the index generally consolidating in a range between 25,500 and 26,000.
"Budweiser APAC posts good results and share price surges sharply, P/E ratio at 20x makes chasing highs risky"
Budweiser APAC (01876) announced that for the interim period ended 30 June 2026, it recorded a normalized EBITDA of USD 926 million, down 5.8% year-on-year; profit attributable to shareholders was USD 473 million, up 15.6% year-on-year, with no interim dividend declared. Excluding non-underlying items, normalized profit attributable to shareholders was USD 481 million, up 1.5% year-on-year.
Revenue for the period was USD 3.171 billion, an increase of 1.1% year-on-year, while the normalized EBITDA margin decreased from 31.3% to 29.2%. During the period, total sales volume in Mainland China was 42.424 billion litres, down 2.2% year-on-year, with sales volume in the second quarter alone dropping by 4.1% year-on-year. This was mainly dragged down by weak demand in Mainland China, though growth in the Korea and India operations partially offset the decline.
For the second quarter alone, the company recorded an unaudited year-on-year drop of 9.7% in Mainland China sales volume. However, overseas markets in Korea and India maintained growth momentum. Among them, Korea's market share continued to rise, with revenue management measures driving low single-digit growth in revenue per 100 litres; India benefited from strong demand for premium products and expanded market share, recording double-digit growth in revenue for both the second quarter and the first half of the year.
Nip Chun Pong stated that Budweiser APAC's strong results drove a sharp surge in its share price today. Although sales in the Mainland China market were relatively weak, the group achieved growth in Korea and India, partially offsetting the predicament of weak demand in Mainland China. In fact, as early as the announcement of last year's full-year results at the beginning of the year, the group had already indicated it would focus on the Korea and India markets. Less than half a year later, sales in both regions have yielded initial results, bringing greater hope to the group, hence the larger share price gain. Nevertheless, the stock has surged over 20% from the low of HKD 6 at the beginning of the month to today's high of HKD 7.6, and its P/E ratio has also risen to roughly 20-odd times. Subsequent upside room may be limited, and resistance is expected to be relatively heavy at HKD 8.
Nip Chun Pong pointed out that aside from Budweiser APAC's favourable results today, the Political Bureau meeting is reportedly being held these two days, and the market holds aspirations for central authorities to support domestic demand, wondering whether policies such as trade-ins and home appliances going to the countryside will be introduced as before. Consequently, the overall trend of the consumer sector has recently been relatively strong, with leaders Meituan (03690) and JD.com (09618) both rising to over-two-month highs. However, Nip Chun Pong believes that once expectations fall short after the meeting, it cannot be ruled out that consumer sector share prices will take the opportunity to pull back. Compared to food and beverage, home appliance stocks have lower P/E ratios. Taking Haier Smart Home (06690) as an example, although its share price has risen by 20% from its May low of HKD 19 to around HKD 23 currently, its P/E ratio remains below 10 times, and it may still have 8% to 10% potential upside in the future. However, once consumer stocks pull back collectively, it is expected to be difficult for it to stand alone.
