Since the beginning of this year, the Hong Kong stock market has performed well. As of the close of June 17, the Hang Seng Index has risen by more than 19%, and the Hang Seng Technology Index has risen by more than 18%. Among the Hang Seng Index constituents, stocks with a total market value of more than HK$1 trillion have all risen. Xiaomi Group-W, which has the largest increase, has risen by more than 56%, and Tencent Holdings, which has the largest total market value, has risen by more than 24%. Technology, dividend and consumer stocks have all performed well. The outstanding performance of the Hong Kong stock market is inseparable from the continuous inflow of incremental funds. Since the beginning of this year, southbound funds have continued to increase their positions in the Hong Kong stock market, with a cumulative net inflow of more than HK$690 billion, a record high for the same period in history, more than twice the same period in 2024. Institutional sources believe that external disturbances have a relatively limited impact on the fundamentals of Hong Kong stocks, and corporate profits are still resilient. Southbound funds may also continue to flow into the Hong Kong stock market to provide support. With the increase in domestic policies to stabilize growth, the performance of Hong Kong stocks has been revised upward, coupled with the improvement of the global liquidity environment, Hong Kong stocks are expected to usher in a double improvement in fundamentals and risk appetite, and embark on a journey to new highs.