Asian shares experienced a biddable session on Monday with Indonesia leading, Taiwan trailing, and South Korea being a holiday due to Independence Day. Hong Kong and Mainland China exchanges wavered, with volumes below the MSCI index rebalance bonanza but still strong. Investors eye China's crucial policy gatherings with anticipation for any economic stimulus and direction.
China's annual political sessions have begun, with the Chinese People's Political Consultative Conference (CPPCC) beginning today and the National People's Congress (NPC). Markets are anticipating whether Beijing will unveil measures to stimulate domestic consumption or respond to US tariff threats. Although hopes for significant stimulus are subdued, any indication of economic support would be a factor in investor sentiment.
Alibaba was making headlines with downloads of its Wanxiang big language model outpacing those of DeepSeek's R1. The feat is a reflection of Alibaba's increasing dominance in the realm of AI, making it one of the major players in the artificial intelligence game. The stock jumped 2.27 percent on the news, becoming one of Hong Kong's most actively traded stocks.
Bubble tea giant Mixue Group soared 43.21 percent on its market debut after raising $444 million. The company, which has operated a staggering 45,300 stores since its inception in 1997, saw its IPO oversubscribed 5,258 times. The strong investor demand signals renewed confidence in Hong Kong’s IPO market, with UBS forecasting at least 30 mainland firms will go public this year.
Xiaomi launched its high-end 15 Ultra smartphone in Europe at 1,499 Euros, more than Apple's iPhone 16 Pro Max. The premium price sent investor sentiment into a tizzy, with shares of Xiaomi declining 1.74 percent. How the phone fares in international markets will be awaited with interest as Xiaomi looks to take on the likes of industry leaders.
Automakers have released combined January-February sales figures because of the Lunar New Year holiday.
BYD fell 2.15 percent even as EV and hybrid sales zoomed 90.44 percent YoY to 614,679 units, with rumours of a sale of a discounted share.
Li Auto decreased 4.85 percent as February sales increased 29.69 percent YoY but dropped 12 percent from January.
Xpeng increased 1.94 percent after an astonishing 375 percent YoY rise in sales.
As the US House is about to vote on some China-related legislation, Warren Buffett's warning that tariffs would spur inflation has sent shockwaves. China is said to retaliate by targeting US farm exports.
The Hang Seng Index rose 0.28 percent, while the Hang Seng Tech Index declined 0.58 percent. Shanghai’s benchmark fell 0.12 percent, while Shenzhen gained 0.33 percent. Mainland investors net purchased $1.25 billion in Hong Kong stocks, with Alibaba, Tencent, and SMIC among the top picks.