Hong Kong tech just had a brutal day—Hang Seng Tech Index posting its worst session since Trump's April 2025 "Liberation Day" tariff bomb.
Three charts tell the story:
1️⃣ Down over 40% from peak
2️⃣ All gains from the September 24 stimulus bazooka have been wiped out
3️⃣ Forward P/E now at 13x—extreme low territory for this group
This is a full round-trip. The policy optimism that drove the rally last fall is gone. What looked like a regime shift now feels like a failed breakout. At 13x forward, you're getting tech names at distressed multiples—but the question is whether this is capitulation or just the beginning of a deeper reset.
Watch for stabilization signals or further policy response. If Beijing stays quiet, this could get uglier.
Three charts tell the story:
1️⃣ Down over 40% from peak
2️⃣ All gains from the September 24 stimulus bazooka have been wiped out
3️⃣ Forward P/E now at 13x—extreme low territory for this group
This is a full round-trip. The policy optimism that drove the rally last fall is gone. What looked like a regime shift now feels like a failed breakout. At 13x forward, you're getting tech names at distressed multiples—but the question is whether this is capitulation or just the beginning of a deeper reset.
Watch for stabilization signals or further policy response. If Beijing stays quiet, this could get uglier.