Daily Investment Strategy
Daily focus：BYD（1211）
BYD's second-quarter 2025 results fell short of expectations, with gross profit margin and per-vehicle earnings declining due to price competition and cost pressures. However, sales in the first half of the year saw YoY growth. The company is increasing dealer incentives and R&D capital expenditures and is actively developing new overseas production capacity. With bases in Thailand, Indonesia, and Brazil slated for launch, these facilities will help boost its overseas business and strengthen its long-term growth momentum. Its diversified business and technological leadership will mitigate cash flow pressures and competitive risks, maintaining its long-term appeal.
The Federal Court found that the president had exceeded his authority by invoking the Emergency Economic Powers Act to impose tariffs
The fact that Trump's tariff policy was ruled illegal. The Federal Court of Appeals voted 7 to 4 and found that the president had exceeded his authority by invoking the Emergency Economic Powers Act to impose tariffs. This move directly challenged the core pillar of the Trump administration's "America First" trade policy. Although the tariffs will remain in place until October 14th pending the Supreme Court's ruling, this uncertainty has begun to affect the global trade layout. From a macro perspective, the shaken legal status of the tariff policy will have a profound impact on inflation expectations, the US dollar exchange rate, and the reconstruction of the global supply chain. The market generally believes that if the tariffs are eventually lifted, it will ease inflationary pressure and provide the Federal Reserve with more room to cut interest rates, but it may also weaken the United States' bargaining chips in international trade negotiations.
Hong Kong Stock Connect recorded a net inflow of HK$11.9 billion on Monday, with Alibaba (9988) receiving the largest net inflow of HK$4.92 billion, followed by Tencent Holdings (700). Meanwhile, Xiaomi Group (1810) saw the largest net outflow of HK$1.04 billion, followed by Pop Mart (9992).
Leung Kai Tong is a SFC licensed person accredited to KGI Group to carry on regulated activities (for details, please refer to: https://apps.sfc.https://apps.sfc.hk/publicregWeb/indi/ADU276/details). He and/or his associate do not have any financial interest in the recommended issuer or new listing applicant.
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