With the better-than-expected first quarter report from NVIDIA (NVDA.US) and the strong performance after earnings from Lenovo Group (00992), today the Hong Kong stock technology sector rebounded collectively, with all three major indexes closing higher. By the end of trading, the Hang Seng Index rose by 0.86% to 25606.03 points, with a total daily turnover of 281.298 billion Hong Kong dollars; the Hang Seng Tech Index rose by 2.11% to 4869.57 points. In terms of Hong Kong stock ETFs, among the top-ranking products in terms of size, the Ying Fu Fund (02800) rose by 0.7% to 25.8 Hong Kong dollars; the Southern Hang Seng Tech (03033) rose by 1.89% to 4.756 Hong Kong dollars; and the Southern Double Long Hailishi (07709) rose by 4.26% to 97.02 Hong Kong dollars. Industry Performance Due to the better-than-expected first quarter report from NVIDIA, the entire AI hardware industry chain strengthened, with consumer electronics and communication ETFs performing well together. By the end of trading, the consumer electronics ETF Huaxia (159732) rose by 6.73% to 1.571 yuan; the consumer electronics ETF Penghua (159153) rose by 5.62% to 1.373 yuan; the Hong Kong Information Technology ETF Huabao (159131) rose by 6.34% to 1.006 yuan; and the communication ETF YinHua (159994) rose by 5.53% to 1.411 yuan. NVIDIA's first quarter financial report showed that its second quarter revenue guidance significantly exceeded market expectations. Goldman Sachs pointed out in its assessment of NVIDIA's performance that the upturn in AI computing capital expenditure is far from over, and investment sustainability is improving. This boost led to a significant rise in related sectors in the A-share and Hong Kong stock markets. Zhaoxin International believes that NVIDIA's first quarter performance exceeded expectations once again, with an upward adjustment in guidance for the end of the second quarter in July. However, the more important revelation is that the economic benefits of AI infrastructure are becoming more sustainable. In addition to the visibility of Blackwell/Rubin's $1 trillion by 2027, the new Vera CPU monetization opportunity, and a larger scale capital return plan, the first quarter performance mitigated concerns in the market regarding the 2027 fiscal year being a one-time peak in demand, and strengthened NVIDIA's transformation from a GPU supplier to a full-stack AI factory platform. In terms of consumer electronics, CITIC Securities believes that against the backdrop of continuous price increases in the midstream and upstream, the overall performance of the electronics industry in 26Q1 is expected to continue to significantly differentiate. Storage is expected to benefit the most from price increases, with storage chip design and module manufacturers continuing to see high growth on a year-on-year and quarter-on-quarter basis. In addition, PCBs, power, analog, and semiconductor advanced manufacturing related sectors are maintaining their prosperity. The more relatively outstanding performance in specific sub-sectors includes storage, AIPCB, power, analog, advanced manufacturing, and leading companies in the fruit chain. Looking forward to 2026Q2, CITIC Securities predicts that the trend of the first quarter will continue, with storage and PCBs remaining highly prosperous. Looking ahead for the entire year, the electronics sector is expected to benefit from the main themes of "price increases + AI + independent controllability," with "consumer electronics" possibly experiencing a major turning point opportunity in the second half of the year. Institutional Views CITIC Securities points out that the MSCI quarterly reshuffling at the end of May may bring incremental funds to the Hong Kong stock market, and ongoing negotiations in the Sino-US economic and trade field could lead to a continuation of the rally in the short term due to the expansion of Hong Kong stock valuations. However, attention should be paid to the pressure on the liquidity of the Hong Kong stock secondary market due to the lifting of restrictions starting in June. At the industry level, it is recommended to focus on: the Internet, semiconductor, and robotics sectors in the technology sector where performance expectations have been fully adjusted; the consumer sector with a bottoming-out fundamental outlook, low valuation + high dividend stocks; and energy, telecommunications operators, and utilities that may benefit from the diffusion of Hong Kong dividend trading. ETF Trends On May 22, two funds were listed on the first day of trading in the ETF market: The Rare Metals ETF from E Fund (561050) was listed for the first time, rising by 3% to 0.996 yuan, with a turnover of 47.7825 million yuan; tracking the rare metals theme index, covering listed companies in the rare metals industry chain such as lithium, rare earths, and cobalt. The Dividend Quality ETF by Rich Country (560250) was listed for the first time, falling by 0.1% to 0.985 yuan, with a turnover of 22.905 million yuan; tracking the CSI Red Chip Quality Index, focusing on A-share listed companies with high dividends and high quality.