Zhitong Hong Kong Stock Early Knowledge | Nasdaq rises for five consecutive days and hits a new historical high as Trump signs stablecoin-related legislation

【Today's Headlines】

New Central Enterprise China Yajiang Group Established, Total Investment in Yajiang Hydropower Project Approximately 1.2 Trillion Yuan

The groundbreaking ceremony for the Yarlung Tsangpo River downstream hydropower project was held on the morning of July 19 in Nyingchi City, Tibet Autonomous Region. Li Qiang, a member of the Standing Committee of the Political Bureau of the CPC Central Committee and Premier of the State Council, attended the ceremony and announced the official commencement of the project. Li Qiang declared the start of the Yarlung Tsangpo River downstream hydropower project, marking the official launch of the construction.

The Yarlung Tsangpo River downstream hydropower project is located in Nyingchi City, Tibet Autonomous Region. The project mainly adopts the development method of straightening bends and tunnel water diversion, constructing five cascade power stations, with a total investment of approximately 1.2 trillion yuan. The electricity generated will primarily be transmitted out, while also considering local consumption needs in Tibet. It involves sectors such as Hong Kong-listed cement, construction machinery, engineering construction, and motor equipment.

【Market Outlook】

Nasdaq Rises for Five Consecutive Days and Hits Historical Highs, Cryptocurrency Stocks Show Mixed Performance

Overnight, U.S. stocks closed with the Dow Jones down 142.30 points, a decrease of 0.32%, closing at 44,342.19 points; the Nasdaq rose 10.01 points, an increase of 0.05%, closing at 20,895.66 points; the S&P 500 index fell 0.57 points, a decrease of 0.01%, closing at 6,296.79 points. The Nasdaq has risen for the fifth consecutive trading day and has set both intraday and closing historical highs. Cryptocurrency stocks showed mixed performance, with Robinhood (HOOD.US) up 4.07%, Coinbase (COIN.US) up 2.2%, Circle (CRCL.US) down 4.71%, and Hut 8 (HUT.US) down 2.26%. 3M (MMM.US) fell 3.63%, and Netflix (NFLX.US) dropped 5.10%. Popular Chinese concept stocks generally rose, with the Nasdaq Golden Dragon China Index up 0.60%. Kingsoft Cloud rose over 7%; JD.com rose over 3%, Alibaba rose over 2%, and the Hang Seng Index ADR rose, closing at 24,914.23 points, an increase of 88.57 points or 0.36% compared to the Hong Kong closing.

【Hot Topics Ahead】

U.S. President Trump Signs Stablecoin-Related Legislation

On July 18, local time, U.S. President Trump officially signed the "Guidance and Establishment of the U.S. Stablecoin National Innovation Act" (referred to as the "Genius Act") at the White House, marking the first formal establishment of a regulatory framework for digital stablecoins in the United States. In his speech, Trump stated that he has signed an executive order to establish a federal "Strategic Bitcoin Reserve" and a "National Digital Asset Reserve." At the same time, Trump reiterated that he "will never allow the establishment of a central bank digital currency in the United States."

Ministry of Industry and Information Technology: Work Plans for Stabilizing Growth in Ten Key Industries Including Steel, Nonferrous Metals, and Petrochemicals to Be Released Soon

Xie Shaofeng, Chief Engineer of the Ministry of Industry and Information Technology, stated at a press conference held by the State Council Information Office on July 18 that work plans for stabilizing growth in ten key industries, including steel, nonferrous metals, petrochemicals, and building materials, will be released soon. The Ministry of Industry and Information Technology will promote key industries to focus on structural adjustments, optimize supply, and eliminate backward production capacity.

Chairman of the Hong Kong Financial Development Council, Hong Peizheng: Stablecoins Should Not Be Used as Short-Term Speculative Tools, Regulatory System to Be Launched in August According to Hong Kong Economic Times, the Chairman of the Hong Kong Financial Development Council, Hong Pi Zheng, stated that stablecoins should not be used as short-term speculative tools, but rather as part of a long-term strategy, with the key being to promote the digitalization of payment infrastructure and asset markets. Hong Kong will officially implement a stablecoin regulatory system on August 1, providing a clear compliance framework that will help attract global institutions to conduct issuance, custody, and trading businesses in the region. Hong Kong does not intend to compete with US dollar stablecoins but focuses on consolidating its strategic positioning in financial technology infrastructure.

Hua Jian Medical (01931): Application for US Stablecoin License and IVDNewCo Exchange Ecosystem Officially Launched

Zhitong Finance APP reported that Hua Jian Medical (01931) announced that the company disclosed that the group is actively building a "NewCo+RWA" Web3 exchange ecosystem ("IVDNewCo Exchange") centered on high-tech assets of medical innovative drugs (NewCo) and plans to issue the stablecoin "IVDDollar" (IVDD). This strategy aims to enhance the liquidity, financing efficiency, and accessibility of global medical innovative drug assets by integrating Web3 technology. The group has initiated compliance preparations for the application for a US stablecoin license to support the global layout of the ecosystem.

Shishi Pharmaceutical Group (02005) Has Obtained the Drug Production Registration Approval from the National Medical Products Administration for 0.4ml Fumaric Acid Ketotifen Eye Drops (0.025%) in Single-Dose Packaging

Zhitong Finance APP reported that Shishi Pharmaceutical Group (02005) announced that the group has obtained the drug production registration approval from the National Medical Products Administration of China (NMPA) for 0.4ml Fumaric Acid Ketotifen Eye Drops (0.025%) (this product) in single-dose packaging, which belongs to Class 3 chemical drugs and is considered to have passed the consistency evaluation. This product is mainly used for symptomatic treatment of seasonal allergic conjunctivitis. This product is the second approved by domestic enterprises and is the third type of eye preparation of the group.

Haotian International Construction Investment (01341) Plans to Discount Approximately 12.28% to Place Up to 1.524 Billion Placement Shares, Net Raising Approximately HKD 300 Million

Zhitong Finance APP reported that Haotian International Construction Investment (01341) announced that on July 18, 2025, the placement agent entered into a placement agreement with the company, under which the company conditionally agreed to place a total of up to 1.524 billion placement shares through the placement agent at a placement price of HKD 0.2 per share to no less than six subscribers, and such subscribers and their ultimate beneficial owners will be independent third parties from the company and its connected persons.

[Stock Highlights]

Hua Xin Cement (06655): Benefits from Increased Demand for Yajiang Hydropower Project

According to Xinhua News Agency, on the morning of July 19, the groundbreaking ceremony for the Yarlung Zangbo River downstream hydropower project was grandly held in Nyingchi City, Tibet. The project is located in Nyingchi City, Tibet Autonomous Region, and plans to build five stepped power stations using a unique development method of cutting corners and diverting water through tunnels, with a total investment expected to reach as high as 1.2 trillion yuan Guosheng Securities research report points out that the hydropower resource reserves in the Tibet Autonomous Region are about 200 million kilowatts, accounting for nearly 30% of the country's total, ranking first in the nation. Dongfang Caifu Securities research report specifically notes that with the official commencement of the project, the demand in several sub-sectors such as civil explosives, tunneling, and geotechnical engineering will see certain growth, and the expectations for subsequent catalysts will continue to strengthen.

The construction of hydropower stations has a huge demand for concrete. Taking the Three Gorges Dam as an example, a total of 16 million tons of cement was consumed during its construction. The installed capacity of the hydropower base downstream of the Yarlung Tsangpo River is expected to be more than twice that of the Three Gorges Hydropower Station (according to data from China Energy News, the installed capacity of the Yarlung Tsangpo Hydropower Station can reach 60 million kilowatts, which is 2.7 times that of the Three Gorges), and the cement consumption is expected to exceed 40 million tons, driving an average annual cement demand of about 2.84 million tons, accounting for nearly 30% of Tibet's average annual cement production in the past five years. Since cement is a regional building material product with transportation radius limitations, local cement and building material companies will benefit the most.

Huaxin Cement, as the second-largest cement producer in Tibet by market share, stands to benefit. The company is engaged in the production and sales of building materials such as cement, aggregates, and concrete in the Tibet region. It holds a 79% stake in Huaxin Cement (Tibet) Co., Ltd. and a 43% stake in Tibet High-tech Building Materials Group Co., Ltd