China Markets Lacked Direction and Yuan Faced Selling Pressure, CATL In Focus After Earnings

Li Chen
15 Apr, 2025
Hong Kong

Stock market indexes in China and Hong Kong lacked direction amid U.S. trade policy turmoil as China looked to strengthen partnerships with neighboring countries. 

The Hang Seng index edged down 0.001%, and the mainland-focused CSI 300 index decreased 0.3%. 

The Chinese yuan in the offshore market traded at 7.31 against the U.S. dollar, near the top end of the range set by the People's Bank of China, as capital flight picks up. 

Investor anxieties were high amid the ongoing U.S. trade policy uncertainty, as the on-again, off-again tariff announcements kept investors on the sidelines.

The Trump administration is hoping that the policy uncertainty, by design, will help the U.S. negotiators to gain leverage in negotiations with its key trading partners.  

The Trump administration is promoting the rationale for 154% tariffs on Chinese goods and encouraging foreign businesses to shift manufacturing to the U.S., but at the same time signaling its willingness to lower tariffs.

The two-faced policy of the Trump administration has kept investors selling U.S. dollar-denominated stocks and bonds, weakened the dollar, and shaken investors' confidence in the safe-haven status of the U.S.  

On the earnings front, investors are looking ahead to the release of first-quarter GDP growth data on Wednesday. 

The National Bureau of Statistics' report is expected to show an increase of 5.2% annual pace in the first quarter; however, investors are worried that the economy may face headwinds in the second half. 

 

China Indexes and Stocks 

The Hang Seng index was nearly unchanged at 21,435.14, and the mainland-focused CSI 300 index edged lower 0.1% to 3,756.92.

Contemporary Amperex Technology Co. Ltd. increased 2% to 228.68 yuan, and the company reported a rise in earnings and sales in the first quarter. 

Revenue increased 6.2% to 84.7 billion yuan, and net income surged 32.9% to 13.96 billion yuan from a year ago, respectively. 

CATL is the world's largest power battery maker with a market share of 38.2%, according to a report released by the South Korea-based SNE Research. 

The company is in the process of listing its stock on the Hong Kong Stock Exchange as early as August.

Duality Biotherapeutics surged more than 110% to HK $202.14, and the biotech company sold 17.33 million shares at a price of HK $94.60 per share. 

The cancer and autoimmune disease treatment drug developer raised about HK $1.56 billion, or about $200 million. 

Trust Chem soared 322% to 56.91 yuan in Shenzhen, and the pigment and acid dye maker sold 23.4 million shares at a price of 12.80 yuan per share and raised about 300 million yuan.