[ET Net News Agency, 30 September 2025] The US federal government faces a possible
shutdown, as US President Trump's meeting with Democratic and Republican leaders on Monday
failed to produce a consensus, heightening the risk of a shutdown. US Vice President Vance
blamed the Democrats for "refusing to do the right thing". Against this backdrop, US
equities traded in a narrow range near record highs, ultimately closing higher: the Dow
gained 68 points to 46,316, the Nasdaq rose 107 points to 22,591, and the S&P 500 added 17
points to 6,661. At midday, the Hang Seng Index stood at 26,596, down 25 points or less
than 0.1%, with main board turnover exceeding HKD 159.2 billion. The Hang Seng China
Enterprises Index finished at 9,442, down 11 points or 0.1%. The Hang Seng Tech Index rose
34 points or 0.5% to 6,358.

"Kwok Ka Yiu: tech optimism in Q4 should offset external uncertainty, HSI eyes 28,000"

After successfully reclaiming the 26,500 level on futures settlement day, the HSI
entered the final trading session of the month and quarter, fluctuating around 26,600
after an initial rise. Kwok Ka Yiu, the Director of Business Development at Harbour Family
Office, told ET Net News Agency that the market outlook remains upbeat. With strong
southbound flows into Hong Kong stocks, especially leading tech names, he expects the
trend of gradual gains to continue, even as trade negotiations and interest rate
uncertainties persist externally in Q4.
Yesterday, the Politburo confirmed that the Fourth Plenum will be held from 20 October,
and several major banks turned positive on the A-share outlook, sparking a rally in China
and Hong Kong equities. Kwok noted that the market expects the Central Committee meeting
to offer more guidance on next year's economic growth and to emphasise innovation and
technology. Current capital flows reflect optimism about AI applications, infrastructure,
semiconductors, robotics, and autonomous driving, and any further policy news could drive
these themes even higher. Therefore, he expects the HSI to break above 27,000 soon, and
sees a chance of challenging the 28,000 level during the fourth quarter.

"BYD's overseas sales key, but short-term weakness may see shares fall below HKD 100"

Recent media reports suggest BYD will sharply cut its annual sales target from 5.5
million to 4.6 million vehicles, a 16% reduction. This has been confirmed by Li Yunfei,
General Manager of BYD's Brand and PR Division, who commented that a 4.6 million sales
target is still an outstanding result and likened automaker sales to share prices, saying
it is sometimes necessary to "take a breather" for healthy, sustainable growth, while
stressing that the long-term outlook remains positive. BYD opened over 2% lower this
morning, but quickly rebounded and was only slightly down by midday.
Kwok believes that BYD's reduced target reflects the fierce competition in the sector.
Given the high base and the challenge from new entrants, it is difficult for any single
player to dominate. He expects the market will need time to digest the lowered target.
Although there has been clear support for BYD at the HKD 100 level recently, ongoing
negative news could see the share price dip below HKD 100 in the short term. However, he
also notes that BYD still enjoys significant advantages in market coverage and technology.
He remains positive on the company's medium-term prospects, hoping that overseas sales
will help offset any loss of domestic market share.