Zhitong Hong Kong Stock Early Knowledge | China and the United States will hold the first meeting of the economic and trade consultation mechanism, "the first stock of stablecoin" Circle has risen nearly 30%

【Today's Headlines】

China's Central Bank Continues to Increase Gold Reserves for Seven Consecutive Months

On June 7, the State Administration of Foreign Exchange released data showing that as of the end of May 2025, the central bank's gold reserves amounted to 73.83 million ounces (approximately 2,296.37 tons), an increase of 60,000 ounces compared to the previous month. It is worth mentioning that this marks the seventh consecutive month of increases, with a total accumulation of 1.03 million ounces during this period. Based on the latest international spot gold prices, the total increase is valued at approximately $3.41 billion (around RMB 24.5 billion).

【Market Outlook】

S&P 500 Index Breaks 6000 Points; "First Stock of Stablecoin" Circle (CRCL.US) Rises Nearly 30% Again

Overnight, the Dow Jones Industrial Average rose by 443.13 points from the previous trading day, closing at 42,762.87 points, an increase of 1.05%; the S&P 500 index rose by 61.06 points, closing at 6,000.36 points, an increase of 1.03%; the Nasdaq Composite Index rose by 231.5 points, closing at 19,529.95 points, an increase of 1.2%. Last week, the Dow gained a total of 1.17%, the Nasdaq gained 2.18%, and the S&P 500 gained 1.50%. Most large tech stocks rose, with Tesla's stock price increasing by over 3%. After a surge of over 168% on its first day of trading, "First Stock of Stablecoin" Circle rose nearly 30% the next day, currently priced at $107.7, with a market capitalization exceeding $20 billion. Popular Chinese concept stocks showed mixed results, with the Nasdaq Golden Dragon China Index closing down 0.06%, while the Hang Seng Index ADR rose, closing at 23,834.44 points, up 41.90 points or 0.18% compared to the Hong Kong close.

【Hot Topics Ahead】

China and the U.S. to Hold First Meeting of Economic and Trade Consultation Mechanism

A spokesperson for the Ministry of Foreign Affairs announced: At the invitation of the British government, He Lifeng, a member of the Political Bureau of the CPC Central Committee and Vice Premier of the State Council, will visit the UK from June 8 to 13. During this visit, the first meeting of the China-U.S. economic and trade consultation mechanism will be held.

U.S.-China Trade Tensions Escalate; U.S. Suspends Nuclear Equipment Exports to China

The Trump administration recently suspended licenses for U.S. nuclear equipment suppliers to sell products to Chinese power plants, with the U.S. Department of Commerce issuing a ban to relevant companies. Nuclear equipment suppliers such as Westinghouse Electric and Emerson are affected, with business values in the hundreds of millions of dollars. The U.S. Department of Commerce is reviewing strategically significant export products and has suspended existing export licenses during this period. In response, China stated that the U.S. should lift negative measures and recognize China's progress in implementing agreements. This move comes amid changes in the international nuclear energy landscape, with China's nuclear technology and industrial system leading globally. Trump signed an executive order to promote nuclear energy development, but the coherence of U.S. and European policies faces challenges.

Ministry of Commerce: Will Continue to Strengthen Rare Earth Approval

A spokesperson for the Ministry of Commerce answered questions from reporters regarding export control measures for heavy and light rare earths. The spokesperson stated that rare earth-related items have dual-use attributes for military and civilian purposes, and implementing export controls on them aligns with international practices. The ministry will fully consider the reasonable needs and concerns of various countries in the civilian sector, review export license applications for rare earth-related items in accordance with laws and regulations, has approved a certain number of compliant applications, and will continue to strengthen the approval process for compliant applications CSRC Approves Central Huijin to Become the Actual Controller of 8 Companies

The China Securities Regulatory Commission (CSRC) recently announced on its official website that it has approved Central Huijin Investment Ltd. to become the actual controller of 8 companies. These 8 companies are Great Wall Guorui Securities Co., Ltd., Dongxing Securities Co., Ltd., Cinda Securities Co., Ltd., Dongxing Fund Management Co., Ltd., Cinda Australia Fund Management Co., Ltd., Great Wall Futures Co., Ltd., Dongxing Futures Co., Ltd., and Cinda Futures Co., Ltd. The CSRC stated that the aforementioned 8 companies and related entities should timely handle business registration changes and other related matters as required, improve corporate governance structures, and protect the legitimate rights and interests of the companies and investors.

Progress of the Interconnection Project of Rapid Payment Systems Between Mainland and Hong Kong is Smooth; Some Services Expected to Launch Soon

The People's Bank of China and the Hong Kong Monetary Authority are actively promoting the interconnection of rapid payment systems between the two regions. The project is currently progressing smoothly, and some services are expected to be launched in the middle of this year, with details to be announced in due course. In August 2024, the People's Bank of China and the Hong Kong Monetary Authority signed a Memorandum of Understanding on the interconnection of cross-border payments between Mainland China and Hong Kong. In January of this year, the Governor of the People's Bank of China, Pan Gongsheng, stated that efforts to accelerate the cross-border interconnection of rapid payment systems should be pushed forward. This initiative aims to support residents of both regions in real-time cross-border remittances and provide safer, more efficient, and convenient cross-border payment services for economic and trade activities and personnel exchanges.

618 Encountering National Subsidy Adjustments; Jiangsu, Guangdong, and Other Regions Shift to "Quota Management"

During the 618 shopping festival, national subsidy policies for home appliances in Jiangsu, Chongqing, Hubei, Guangdong, and other regions have been suspended or adjusted to a limited supply model. On-site visits revealed that consumers in Jiangsu Province must queue at merchants to "grab" quotas when using national subsidies offline, and digital products are "hard to come by." Consumers in Guangdong Province also need to grab coupons for redemption. According to data from the Ministry of Commerce, the sales volume of trade-in has exceeded 1 trillion yuan. Industry analysis suggests that the current policy adjustment is mainly due to the rapid consumption of national subsidy funds, which is a temporary phenomenon, and a new round of subsidies may be restarted. For example, the Chongqing Municipal Commission of Commerce expects to introduce the second phase of policies in early June.

Li Shufu: The Automotive Industry Faces "Severe Overcapacity"

On June 7, Li Shufu, Chairman of Geely Holding Group, stated at the 2025 China Automobile Chongqing Forum that the global automotive industry currently faces "severe overcapacity." The company has decided not to build new automobile production plants or expand the capacity of existing plants. Li Shufu mentioned that Geely will not engage in redundant construction but will fully utilize the globally surplus capacity and seek pragmatic cooperation and resource restructuring to the greatest extent possible. This approach not only leverages mature quality assurance systems but also utilizes skilled technical workers, while improving the utilization rate of excess capacity in the industry, participating in global market competition in a friendly manner.

Chen Maobo: Hong Kong Attracted About 20 Million Visitors in the First Five Months of This Year

According to Zhitong Finance APP, on June 8, Hong Kong's Financial Secretary Chen Maobo stated that a series of themed activities have been held in Hong Kong this year, leading to a continuous increase in visitor numbers. In the first five months of this year, approximately 20 million visitors were attracted, with mainland visitors accounting for about three-quarters, an increase of about 10% year-on-year He estimates that the major events in the first half of this year will attract about 840,000 tourists, bringing HKD 3.3 billion in consumption and HKD 1.8 billion in economic added value to Hong Kong. While planning these events, the authorities will actively integrate the activities with other tourism highlights in Hong Kong to enhance the synergy effect and improve the tourism experience.

Zhejiang Shibao (01057): Secured multiple clients in the rear-wheel steering field, with some projects expected to go into mass production in 2026

Zhejiang Shibao recently stated at an analyst meeting that the company has technological reserves in the rear-wheel steering field and has secured multiple clients, with project development progressing in an orderly manner. Some projects are expected to go into mass production in 2026. As a core technology in the intelligent chassis field, rear-wheel steering mainly supports high-end models, with current partnerships primarily with new energy vehicle companies. Due to strict confidentiality agreements signed with clients, specific cooperation details cannot be disclosed.

Huanxi Media (01003): "The Stage" will officially be released nationwide on July 17

According to Zhitong Finance APP, Huanxi Media (01003) announced that the group invested in and controlled the production of "The Stage," written and directed by Chen Peisi, starring Huang Bo and Chen Peisi, which will officially be released nationwide on July 17, 2025.

Miniso (09896): The company is conducting a preliminary assessment of the potential spin-off listing of its trendy toy business operated under the "TOP TOY" brand

According to Zhitong Finance APP, Miniso (09896) announced that the company has noted several media reports stating that it may plan to spin off certain businesses for independent listing.

【Stock Highlights】

China Tongfu (01763): Signed a strategic cooperation agreement with Qianlong International

According to Zhitong Finance APP, China Tongfu (01763) announced that it signed a strategic cooperation agreement with Qianlong International Holdings Limited (Qianlong International) on June 7, 2025. The two parties will collaborate based on Qianlong International's plan to invest in and build tumor treatment institutions in China, promoting and deepening the domestic and international market applications of BNCT (Boron Neutron Capture Therapy) and other nuclear medical equipment, radioactive drugs, and intelligent nuclear medicine solutions. Both parties will actively explore cooperation in scientific research and industrialization of nuclear medical-related products to enhance the health and well-being of people across the strait through technological innovation, achieving mutual advancement in the high-end nuclear medicine industry across the strait.

The company's Beijing branch recently signed a procurement intention contract regarding food gamma irradiation facilities with a well-known agricultural products company in Peru in Lima. This project is the company's first irradiation station cooperation project planned for the Latin America region and is also expected to be Peru's first commercial gamma irradiation facility. The project plans to build a food gamma irradiation station with a design source capacity of one million curies, intended for the preservation treatment of organic fruits and vegetables. The project owner is a core supplier for a large local supermarket chain