WEBVTT - SK Hynix Drops, BYD Rises, Kandenko Tumbles

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<v Speaker 1>Bloomberg Audio Studios, podcasts, radio news, The.

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<v Speaker 2>Stock Movers Report, your roundup of companies making moves in

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<v Speaker 2>the stock market, harnessing the power of Bloomberg Data.

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<v Speaker 3>Let's take a look at some stocks on the move

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<v Speaker 3>in Asia. I'm Stephen Kroll with Caroline Hepger, and we're

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<v Speaker 3>joined by Bloomberg's equity reporter Winnie Sue when he shares

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<v Speaker 3>an eske Heinex tumbling today. Pretty volatile day though, a

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<v Speaker 3>second day of declines for the South Korean cospy, although

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<v Speaker 3>amid some quite big swings. What did we learn from

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<v Speaker 3>esq Heinez's highly anticipated results?

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<v Speaker 1>Yeah, well what today when you look at the earnings,

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<v Speaker 1>Actually we're talking about quarterly profits jumping five hundred and

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<v Speaker 1>fifty seven percent, right, and with this massive number, this

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<v Speaker 1>is still missing estimate by about six percent. So that

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<v Speaker 1>is kind of how high the expectations have been running

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<v Speaker 1>and a bit of a disappointment with revenue also missing estimate.

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<v Speaker 1>But adding to that, we are also hearing some disappointment

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<v Speaker 1>in terms of how there is a lack of detailed

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<v Speaker 1>information from the earnings call, in terms of the share

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<v Speaker 1>buyback plans, a shareholder returns and the long term contracts

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<v Speaker 1>that the company is signing with their clients. Now with

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<v Speaker 1>the rising expectation for the further keypex spending, that is

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<v Speaker 1>also adding to further on ease among investors who are

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<v Speaker 1>looking at this AI trade right now. So you did

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<v Speaker 1>see that s Kehiex falling by intra day record and

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<v Speaker 1>it also triggered a circuit breaker on the Cosby Index.

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<v Speaker 1>And this is the very first time on record that

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<v Speaker 1>we're seeing a back to back circuit breaker for the Cosby.

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<v Speaker 1>So really the momentum has been unwinding very quickly, although

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<v Speaker 1>we did see a bit of a rebound from those

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<v Speaker 1>levels right now as we see a bit of a

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<v Speaker 1>dip buying coming through given that valuations are really at

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<v Speaker 1>record low levels as well.

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<v Speaker 4>Yeah, I mean it's staggering also, isn't it The numbers

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<v Speaker 4>the SKHNIS is talking about. And yet as you say

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<v Speaker 4>those high expectations, I mean they're talking about at least

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<v Speaker 4>thirty one billion dollars in capital spending for this year

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<v Speaker 4>for me sq Heinex. Yeah, massive, massively volatile trading day.

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<v Speaker 4>What about also these Chinese ev stocks which are rallying.

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<v Speaker 4>That's another major story in Asia. Why are they seeing gains.

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<v Speaker 1>Yeah, that's quite interesting, Ray because you are seeing these

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<v Speaker 1>hardware names in Asia taking a hit, while these memory

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<v Speaker 1>chip beneficiaries or memory spenders in fact are gaining. And

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<v Speaker 1>that is on the back of how funds are rotating

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<v Speaker 1>away from these AI stocks, and also we are hearing

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<v Speaker 1>some concerns easing around the memory chip costs, so those

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<v Speaker 1>expectations are helping the likes of le Auto and Neo

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<v Speaker 1>byd these Chinese EVN names rising today. But interestingly is

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<v Speaker 1>that contrast of Korean stocks falling so much and on

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<v Speaker 1>days like this typically recently, we have been seeing a

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<v Speaker 1>rebound in shares in Hong Kong, whether it's ev stocks

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<v Speaker 1>or for example, financials are also doing well because of

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<v Speaker 1>their dividend yields. But the internet names, which have been

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<v Speaker 1>beaten up quite a lot this year, are also gaining,

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<v Speaker 1>with Morgan Stanley expecting earnings to come through quite positive

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<v Speaker 1>positively for these names as well. So we are in

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<v Speaker 1>fact seeing the Hansaying Index outperforming MSCI Asia Index in

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<v Speaker 1>July by the most since nineteen ninety eight. So quite

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<v Speaker 1>an interesting trend changeing trend there.

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<v Speaker 3>Yeah, certainly is, and briefly just on Japan. You're watching

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<v Speaker 3>construction stocks after the earthquake yesterday.

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<v Speaker 1>Yeah, exactly, a very unfortunate massive earthquake hitting Japan's southwestern

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<v Speaker 1>island of Kshu yesterday yesterday afternoon. Now, that area is

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<v Speaker 1>the hub of Japanese manufacturers, and we have lots of

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<v Speaker 1>factories there, including the likes of TSMC having a big

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<v Speaker 1>factory and Sony Semiconductor for example. So so far we

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<v Speaker 1>have heard that at least thirteen people killed in this

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<v Speaker 1>earthquake and many to be rescued still, and that some

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<v Speaker 1>of the factories have suspended the suspended their operations. So

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<v Speaker 1>at this point, after that massive explosion at the Eon Mall,

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<v Speaker 1>which is a really big mall in the area, we

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<v Speaker 1>are seeing construction stocks gaining some traction because of the

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<v Speaker 1>expectation for further demand for reconstruction around this area.

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<v Speaker 2>This stock mover's report from Bloomberg Radio. Check back with

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