China's Inflation Reports Confirmed Weak Demand, Three New Issues List In Hong Kong

Li Chen
09 Jan, 2026
Hong Kong

China's markets lacked direction after December's inflation reading confirmed an ongoing economic slowdown.  

The Hang Seng Index and the CSI 300 Index hovered near the flatline amid macroeconomic worries. 

 

China's Inflation Data Confirmed Weak Domestic Demand

Consumer price inflation in December rose 0.8% from a year ago, accelerating from 0.7% in November, and rose at the fastest pace since February 2023. 

Prices rose for the third consecutive month, driven by an acceleration in food price inflation to 1.1% from 0.2% in the previous month, according to the National Bureau of Statistics. 

Core inflation, which excludes food and energy prices, held at an annual pace of 1.2% and hovered at a 20-month high. 

Consumer price inflation for 2025 was flat, below the official target of around 2%. 

Producer price inflation, which measures wholesale prices, declined 1.9% from a year ago in December, according to a separate report released by the statistical agency.

Wholesale prices contracted for the 39th month in a row, as several industries struggle with persistent demand weakness and overcapacity. 

For the full year of 2025, producer price inflation shrank 2.6%.

 

China Indexes and Stocks 

The Hang Seng Index decreased 0.02% to 26,146.01, and the mainland-focused CSI 300 Index increased 0.1% to 4,742.44. 

For the week, the Hang Seng Index decreased 0.8%, and the CSI 300 Index gained 1.7%. 

Three new issues began trading on the Hong Kong Stock Exchange on Friday, as foreign investors pile into initial public offerings. 

MiniMax Group soared 76% to HK $291.00, and the artificial intelligence-focused company priced its offering at HK $165.0 per share. 

The AI foundation model company raised HK $4.8 billion in gross proceeds through the sale of 29.2 million shares. 

Yunnan Jinxun Resources jumped 25% to HK $36.80, and the copper mining company priced its offering at HK $30.0 per share. 

The manufacturer of copper cathodes with mining operations in Zambia and DR Congo raised gross proceeds of HK $1.1 billion through the sale of 36.8 million shares. 

Suzhou Ribo Life Science advanced 27% to HK $74.40, and the company priced its offering at HK $57.97 per share. 

The thrombotic disease-focused company raised HK $1.2 billion in gross proceeds through the sale of 31.6 million shares.