Baling Hong Kong China Stock Team Leader Fang Weichang said that funds are currently more inclined to stay in the semiconductor sector, mainly in Taiwan and South Korea, rather than in Hong Kong. As a result, other stock markets have returned to pre-Middle East conflict levels or even reached new highs. He believes that the attractiveness of Hong Kong stocks lies in their relatively inexpensive valuations, but Hong Kong stocks also need performance to attract fund inflows. Fang Weichang pointed out that the sensitivity of oil prices and stock markets to news of the Middle East conflict has decreased, and the market is becoming calmer. The market may be starting to get used to news of war. With the United States releasing signals of hope for a ceasefire, market sentiment has eased, and expectations of interest rate hikes have cooled. However, there is no new news about the Chinese stock market, and in the short term, the market is still following external trends, with trading volume not being high, reflecting a wait-and-see approach by funds. Regarding the first quarter performance of Chinese stocks, he expects that the performance of Chinese stocks in the first quarter will improve, but there will be variations in industry performance. With rising raw material costs, some companies may not have time to raise prices, resulting in slightly weaker performance in the previous quarter, but there are high expectations for performance starting in the second quarter. He will focus on companies that can raise prices and introduce products with artificial intelligence (AI) applications. He continues to be optimistic about technology stocks and industrial stocks related to AI.