TheHow much is 1 pi Coin worth? Hang Seng Index opened lower with a gap on Tuesday, but the opening level was already at a daily high. The index sharply dropped nearly 230 points in the first 16 minutes of trading before rebounding from the 19,000 level. The index then fluctuated throughout the day and closed just above the 19,000 level. The daily range was 344.42 points, with a trading volume of 95.05 billion yuan.

Tencent's (0700) major shareholder, Prosus, has stated its intention to continue reducing its stake in Tencent. It is expected to reduce its holdings by approximately 2%-3% per year, reaching around 24%-25% by the end of this year. Tencent's stock price dropped by 4.594%, contributing to the decline of the index. On the other hand, real estate stocks showed a soft trend, with Longfor Group (0960), Country Garden Services (6098), and Country Garden (2007) falling by 9.907%, 9.613%, and 8% respectively, which was another reason for the index decline.

The Hang Seng Index closed with a "bearish engulfing candle," falling below the 50 SMA, 200 SMA, and 20 SMA. The bullish divergence in MACD narrowed. There were 506 advancing stocks and 1,140 declining stocks throughout the day, indicating an overall weak market condition.

US retail sales in June increased by 0.2% on a monthly basis, slower than the market's initial expectation of a 0.5% increase. Retail sales excluding automobiles saw a monthly increase of 0.2%, lower than the market's anticipated 0.3% increase. Excluding automobiles, gasoline, building materials, and food services, retail sales rose by 0.6%, surpassing expectations. Investors are optimistic about controlled inflation and positive financial performance of companies, leading to an upward trend in the three major US stock indexes.

The night session and ADR decline, indicating a weak trend in the Hang Seng Index. Support can be found around the 19000 / 18900 levels.

China COSCO Shipping Corporation Limited (0598) primarily engages in freight forwarding, professional logistics, warehousing and terminal services within China, as well as logistics equipment leasing and other services. The group's main operating business is located within the territory of China.

The group's operating revenue in the first quarter of 2023 was RMB 22.361 billion, a year-on-year decrease of 24.56%. The decline is due to a significant drop in sea and air freight rates compared to the same period last year, as well as weakening demand in the European and American markets, resulting in a decrease in the company's sea and air transport volume. The net cash flow from operating activities increased by 92.12% year-on-year, mainly because the company continued to strengthen its management of working capital, resulting in a significant reduction in net cash outflow from operating activities compared to the same period last year, and the inflow and outflow of cash from operating activities remained approximately balanced.

On the other hand, Shanghai International Energy Exchange, a subsidiary of Shanghai Futures Exchange, announced that it is seeking public opinions on futures contracts and related business rules for Shanghai Export Container Settlement Freight Rate Index (Europe Route). The announcement states that the contract multiplier for the Freight Rate Index (Europe Route) futures contract is 50 yuan per point; the quotation unit is index points; the minimum price fluctuation is 0.1 point; and the daily price limit is not to exceed ±10% of the previous trading day's settlement price.

Analysis suggests that China, as a major maritime power, launching the Freight Index (Europe Route) futures will fill the gap in long-term freight rate forecasting references and price risk management tools for the shipping industry. This initiative is an important step towards serving the national "Maritime Powerhouse" strategy, supporting the development of Shanghai International Financial Center and international shipping center. It is expected to benefit the bulk shipping group's business.

The group's stock price has recently shown improvement and there are signals in the financial technology system. The group is valued at a relatively low level compared to its peers. If a valuation based on a P/E ratio of 5 is used, the target price for the group would be 3.1 yuan.

The author is a licensed person of the Hong Kong Securities and Futures Commission (SFC) and does not hold the aforementioned shares. The above article represents personal opinions.