Food Delivery War Tumbles Tech Stocks; Semiconductors Energized by CXMT

A fierce "food delivery war" among tech giants Alibaba, Meituan, and JD.com is shaking up the Hong Kong market, causing their stocks to tumble and impacting the Hang Seng Tech Index. Meanwhile, the semiconductor sector is energized by the IPO filing of DRAM giant CXMT and reports of domestic breakthroughs in advanced manufacturing and materials.

The "Food Delivery War" Escalates, Impacting Tech Giants

• Intensified Competition: Alibaba, Meituan, and JD.com are engaged in an aggressive subsidy war in the instant retail market, with Alibaba reportedly planning to spend 50 billion over 12 months.
• Stock Market Impact: The price war has led to significant drops in the stock prices of all three companies, heavily weighing on the Hang Seng Tech Index, which is now nicknamed the "Hang Seng Food Delivery Index."
• Ripple Effects on Supply Chain: The surge in orders is creating opportunities for adjacent industries, including packaging suppliers (Shanying Paper, Home Original) and beneficiaries of the subsidies like new tea chains (Mixue, Chabaidao).
• Southbound Capital Inflow: Despite the stock price drops, there has been a significant inflow of southbound capital, with net purchases exceeding 12 billion HKD in a single day, indicating bargain-hunting by mainland investors.

Semiconductor Sector Energized by CXMT IPO and Domestic Breakthroughs

• Major IPO Catalyst: Domestic DRAM giant ChangXin Memory Technologies (CXMT) has officially started its IPO counseling process, a move seen as a major boost for the entire domestic semiconductor value chain.
• Advanced Process & HBM Progress: There are market rumors of significant progress at a leading Chinese foundry ("Village Dragon") on its N+2 (7nm equivalent) and N+3 (5nm equivalent) nodes, alongside advancements in HBM3 technology.
• Key Material Localization: AI server demand is driving innovation in materials. This includes Low-Dk/Low-CTE electronic cloth for next-generation platforms like NVIDIA's Rubin, and HVLP copper foil, where Jiadengheng is gaining attention for its potential acquisition of an NVIDIA supplier.
• GPU Developments: A company 40% owned by Dongxin Co., Ltd. reportedly successfully taped out its TrueGPU G100 graphics card, with performance targeting NVIDIA's RTX 4060 series, and plans for a public performance test in late July.

Key Market Movers: Power Sector, Medical Tech, and Steel Industry

• Power Sector Rally: Extreme heatwaves have pushed national electricity loads to a record 14.65 billion kilowatts, which, combined with low coal prices, has strengthened the profitability logic for power companies.
• Medical Device Substitution: A new government procurement policy restricting the purchase of certain EU-made medical devices (for contracts over 45 million yuan) is creating a historic opportunity for domestic firms to replace giants like Siemens and Philips in high-end areas like PET/CT.
• Steel Industry "Anti-Involution": The government is cracking down on a tax loophole known as "buy-the-bill export," an illicit practice that has fueled vicious price competition and hurt legitimate exporters. This regulatory tightening is expected to favor leading steel companies and may be a factor behind recent insurance fund investments in the sector.

Market Sentiment, Geopolitics, and Investor Strategy

• Quant Trading Rules Impact: The implementation of new quant trading regulations led to a significant market volume contraction of over 200 billion yuan, as funds adopted a cautious stance.
• Geopolitical Tariff Threats: Former U.S. President Trump's statements about imposing a 25% tariff on Japan and South Korea and additional tariffs on countries supporting BRICS have increased market concerns about geopolitical risk.
• Retrospective on 2015 Crash: Investors reflect on the 10th anniversary of the 2015 stock market crash, sharing diverse survival stories, from successfully shorting the market with 180ETF to suffering major losses on leveraged products like structured funds (分级B), and ultimately learning the importance of risk management.