The value of occupied residential properties in Hong Kong has decreased for the third consecutive year, marking the most significant downturn since 2003. The cost of previously owned homes experienced a decrease in December, ending a short-lived recovery of two months. Over the past three years, these prices have fallen by 27 per cent.

Residential property prices in Hong Kong dropped in December, marking a continuous three-year decline, amid uncertainties over global politics and inflation that make further interest-rate reductions by worldwide central banks unlikely.

The value in the secondary market saw a decrease of 0.65% in the previous month, a reversal from the increases observed in October and November, as per the information released by the Rating and Valuation Department. The yearly reduction in prices was 7.13%, continuing the downward trend with a 15% fall in 2023 and a 7% shrinkage in 2022.

The aggregate decrease of 27% over the previous three years marks the second most prolonged downturn since the initiation of official monthly records in 1993. The most severe crash in Hong Kong's housing market history occurred from 1997 to 2003, amid the Asian financial turbulence and the dot-com bubble burst, plummeting by 58%.

Derek Chan, the research head at Ricacorp Properties, stated that Donald Trump's victory in the November presidential elections created uncertainty around interest rate predictions. This led to a calming effect on the market and consequently compelled owners of used properties to reduce their prices.

Trump resumed his duties at the White House on January 20, sparking fears that his strategies might fuel inflation and disrupt international commerce. Although the Federal Reserve initiated its cycle of reducing rates in September, economists are now more wary about the extent and pace of these reductions for this year.

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Trump announces contemplation of a 10% duty on Chinese imports, beginning February 1.

"Trump's decisions can affect the future of interest rates," stated Raymond Cheng, the managing director at CGS International Securities, located in Hong Kong. In addition, he remarked that China's economic forecasts and the performance of its stock market are significant factors influencing the real estate market mood.

ByteDance board member William Ford is hopeful that TikTok can find alternatives to selling in the U.S., according to a report. Ford states that looking into options other than selling is crucial in the company's negotiations with the Trump administration.

TikTok is exploring different options rather than selling its US operations, as ByteDance, its parent company, persists in its efforts to retain its 170 million American users following a respite from the Trump administration, according to a statement by a ByteDance board member cited by Chinese publication Caixin.

William Ford, a board member of ByteDance, expressed confidence in the company's ability to resolve the US government's national security worries without needing to sell off TikTok's US operations, as per a Caixin report on Thursday. Ford shared these views while attending the 2025 World Economic Forum in Davos, Switzerland.

This marks the inaugural occasion where a ByteDance board member has openly discussed the future of TikTok since the commencement of Trump's second term in office.

The chairman of General Atlantic, a ByteDance stakeholder, Ford, has reportedly stated that investigating alternatives to sale is crucial in the firm's discussions with the Trump administration. However, interaction with the Biden administration has been limited.

In a different conversation with Bloomberg TV, Ford suggested that potential solutions might involve "some sort of shift in local control" to adhere to US laws.

Ford conveyed strong optimism for conversations between US President Donald Trump and Chinese President Xi Jinping. He suggested to Bloomberg TV that such discussions could promote a more cooperative atmosphere and a heightened sense of involvement, potentially resulting in a favorable resolution.

Land sales in Hong Kong are projected to bring in approximately US$76 million, despite developers' reservations. The sole residential site available in the New Territories during the last quarter has drawn interest from six developers.

Six property developers from Hong Kong are competing for the sole residential land parcel offered by the government in the previous quarter. However, surveyors anticipate that the bids will be conservative due to economic instability and elevated interest rates.

Among those who placed bids were CK Asset Holdings, Sun Hung Kai Properties, Sino Land, K&K Property Holdings, and China Overseas Land & Investment.

The bidding process for the 3,580-square-meter property located on Mei Tin Road in Tai Wai, Sha Tin, concluded on Friday at midday. The property, capable of accommodating 360 apartments, is roughly a 15-minute walk from the Tai Wai MTR station and is also accessible via a mini-bus route, according to property assessors.

"Anticipations are that the property could fetch a price ranging from US$76 million to HK$620 million, which corresponds to a housing value of HK$3,050 to HK$3,200 per square foot," stated Alex Leung, CHFT Advisory and Appraisal's senior director. He further indicated that the projected apartment price might be approximately HK$16,500 per square foot.

The project's moderate size leads to a relatively low investment sum and risk, stated Alvin Lam, a board member at Midland Surveyors. He added that due to the successful sale of two residential properties in Sha Tin by tender in 2024, the location will likely attract attention as future new supply in the area is anticipated to be limited.

ByteDance from China is competing with American counterparts in advancing artificial general intelligence. The ambitious investment approach of this Chinese tech giant is embodied in its Seed Edge program, while other significant tech companies are also expanding their AI plans.

"Seed Edge promotes the investigation of ambitious, unpredictable, and audacious AI research areas," stated ByteDance on Thursday. "We aim to offer a flexible research environment to address groundbreaking AI research subjects."

The initiation of ByteDance's AGI initiative has reportedly been personally endorsed by the company's founder Zhang. Since retiring from all his business positions, Zhang has been largely out of the public eye, as stated by a report from the Chinese news platform, LatePost.

The downturn in China's real estate market has yet to reach its conclusion, with housing sales and rental rates still feeling the strain, according to Fitch. Fitch predicts a 10% drop in total floor space, coupled with a 5% decrease in the average selling price by 2025.

The decline in China's real estate sector is expected to continue this year due to sluggish home sales and construction operations. Fitch Ratings attributes this to "structural issues" such as excessive supply and decreased affordability.

The rating agency announced on Wednesday that the worth of new home sales is anticipated to decline by 15 per cent, amounting to approximately 7.3 trillion yuan (US$1 trillion). This decrease mirrors a 5 per cent reduction in the average sales price and a 10 per cent decrease in total floor area.

The discrepancy between rental income and mortgage rates in prominent mainland cities implies a potential decrease in property values. In an attempt to revive the housing and stock markets, Beijing initiated a financial boost in September. This was aimed at regaining trust from property investors, however, the initial excitement seems to be diminishing.

"Government policies that are favorable have managed to steady the market outlook for the near future," stated Tyran Kam, the senior director and chief of China property. "However, the continuity of this progress is incredibly unpredictable due to large stockpile quantities, unstable job conditions, and the low affordability of homes."

The property market in China is experiencing its fourth consecutive year of struggle. Prior to the introduction of the "three red lines" policy in August 2020 and the impact of the Covid-19 pandemic, the real estate industry accounted for approximately 25% of China's total economic output.

China's multifunctional application, WeChat, has strengthened its online retail reputation through a feature that enables gift-giving. According to domestic news, this function was responsible for over 80% of recent sales generated by the live-streaming online retail company, East Buy, on WeChat.

This function allows customers to look for items on WeChat using specific words. Once the payment is finalized by the person sending the gift, the individual receiving it has to approve the gift and provide a shipping address within a day. If not, the order gets voided and the funds are refunded to the person who made the payment. Each order on WeChat only allows for one gift to be sent to a single friend.

WeChat's official rules state that the maximum price for products offered through this feature is 10,000 yuan, and it does not include items such as jewellery and tutoring services.

China directs pension and insurance funds to the country's A shares to stabilize the stock market

From this year onwards, regulator Wu Qing stated that 30% of the yearly insurance premium from new policies would be invested in A shares, which are valued in yuan.

Financial authorities in China are directing funds from pensions, insurances, and mutual funds into the country's stocks to secure and balance the biggest capital market in Asia. This move has resulted in the largest single-day increase in a key stock index in over a week.

From this year onwards, 30% of the yearly insurance premium from new plans will be allocated to A shares denominated in yuan, according to Wu Qing, the head of the China Securities Regulatory Commission, who made the announcement at a press briefing in Beijing. He also stated that mutual funds would be encouraged to increase their investments, with the allocation percentage growing by 10% annually for the next three years.

Xiao Yuanqi, the Vice-Chairman of the National Financial Regulatory Administration, has announced that a pilot program will reserve a minimum of 100 billion yuan (equivalent to US$13.8 billion) for the stock market within the first half of the year. He further added that half of this amount would be sanctioned prior to the start of the Lunar New Year, which begins on January 29.

The Finance Ministry is currently revamping the investment management process for retirement funds, with the goal of improving investment proportions and increasing flexibility, as per the Deputy Finance Minister Liao Min's statement.

The guidelines have the potential to provide a crucial boost to the capital market, which has been suffering from a sluggish economy, an extended downturn in the property sector, and weak corporate profits. The CSI 300 Index has seen a decline of roughly 30 per cent from its 2021 high point, while global funds' investment in Chinese stocks is at a five-year low, as per Goldman Sachs.

"Wang Qi, the chief investment officer of UOB Kay Hian, believes that the government is making a wise decision by attempting to bring long-term capital into the market. He thinks this could restore trust and stimulate additional capital influx by fostering a profitable environment."

China is funneling pension and insurance funds into the country's A shares to stabilize the stock market. From this year onwards, regulator Wu Qing stated that 30% of the yearly insurance premium from new policies will be invested in A shares denominated in yuan.

China's financial authorities are redirecting pension, insurance, and mutual funds towards the country's stocks to establish and steady Asia's leading capital market. This move has triggered the most significant single-day increase in a key stock index in over a week.

From this year onwards, Wu Qing, the head of the China Securities Regulatory Commission, announced in a Beijing press conference that 30% of the yearly insurance premium from new contracts will be invested in yuan-denominated A shares. He also mentioned that mutual funds will be encouraged to increase their investments, with the allocation rate growing by 10% annually over the forthcoming three years.

Xiao Yuanqi, the vice-chairman of the National Financial Regulatory Administration, has stated that an initial insurance fund of a minimum of 100 billion yuan (equivalent to US$13.8 billion) will be allocated for the stock market as a part of a trial program in the first half of the year. He further mentioned that half of this amount will be sanctioned prior to the beginning of the Lunar New Year, which starts on January 29.

Meanwhile, the Finance Department is in the process of updating the investment management structure for pension funds. The goal is to improve investment proportions and increase adaptability, as stated by the Deputy Finance Minister, Liao Min.

The new orders might offer a critical boost to the capital market, which has been suffering due to a weak economy, a sustained decline in the property market, and lackluster corporate profits. The CSI 300 Index has seen a roughly 30% decrease from its 2021 high point, while international funds' investment in Chinese stocks is at a five-year low, as per Goldman Sachs.

Wang Qi, the head of investment at UOB Kay Hian, expressed his approval of the government's efforts to inject long-term capital into the market. He believes that this move could bolster confidence and stimulate the generation of profit, attracting more capital in the future.

Hong Kong's stock market experiences a downturn as China's strategy to stimulate the market falls short of traders' expectations. Regulators indicate that a minimum of 100 billion yuan from insurance funds will be channelled into A shares as part of an experimental scheme within the initial six months.

The Hang Seng Index experienced a drop of 0.4 per cent, closing at 19,700.56 on Thursday, despite having climbed up to 1.3 per cent earlier. Meanwhile, the Hang Seng Tech Index saw a decline of 1.4 per cent, overturning its initial rise of up to 1.7 per cent.

The CSI 300 Index on the mainland experienced a 0.2 per cent increase, despite an earlier surge of up to 1.8 per cent, marking its greatest rise since January 14. Meanwhile, the Shanghai Composite Index saw a growth of 0.5 per cent.

From this year onwards, 30% of the yearly insurance premium generated from fresh policy sales will be funneled into China's domestic markets, according to Wu Qing, the head of the China Securities Regulatory Commission. He made this announcement at a press briefing in Beijing on Thursday. He also mentioned that these investments would see an annual growth of 10% for the coming three years.

These actions are being taken by China in an attempt to combat the potential impact of tariffs threatened by Trump, who indicated he might impose a 10 per cent tariff on goods imported from China starting from February 1.

Samsung introduces Galaxy S25 smartphones with AI capabilities, exclusively using Qualcomm chips

In a blow to its chip business, Samsung disclosed new AI enhancements in its recent models, completely avoiding the use of the company's Exynos processors.

Samsung gave a sneak peek of a more streamlined variant of their leading models at a California event's conclusion, with plans to release the Galaxy S25 Edge in the initial half of this year, before Apple's expected launch of its thinner iPhone.

Samsung managed to outpace Apple in introducing a smartphone powered by artificial intelligence, however, it struggled to reclaim its top spot in the worldwide smartphone industry last year. This was due to high competition from its American competitor in the luxury market, and from Chinese companies in the more affordable sector.

"In terms of providing AI capabilities, we're leading the industry," said Park Ji-sun, the Executive Vice President in charge of Samsung's Language AI division, in a conversation with Reuters. "I'm confident we're on the right track."

Samsung maintained the cost of its Galaxy S25 series, keeping it steady between $799 and $1,299.

SK Hynix's earnings exceed that of Samsung, yet stock prices fall due to reduced demand for memory chips. The firm indicated that high-performance chips will continue to experience supply shortages, while the need for older models is expected to drop rapidly.

Prior to the announcement of the outcome, the stock of SK Hynix had surged approximately 30% this year due to optimistic outlook fueled by its business negotiations with Nvidia. This performance surpassed Samsung, whose shares only increased by 2% during the same timeframe.

"Concerns are mounting for the memory chip industry this year due to escalating trade restrictions and increasing geopolitical threats, as PC and smartphone manufacturers modify their stocks," stated SK Hynix's CFO Kim Woo-hyun during a financial results discussion with analysts.

The firm announced that the availability of high-performance chips will continue to be limited due to increasing demand. However, the demand for older products is expected to drop at a faster rate.

BNK Investment & Securities analyst, Lee Min-hee, stated that despite a strong performance in the fourth quarter, SK Hynix's shipment predictions for the first quarter chips were not as robust as projected, leaving investors dissatisfied.

The finance sector in China is experiencing an increase in salary caps as part of the 'common prosperity' initiative. A number of government-supported securities companies have already set annual salary limits for top executives. Up next to follow this trend are major banks, insurance companies, and stock exchanges.

Numerous Chinese government-supported financial organizations have already instituted yearly wage limits for their top executives, according to our sources. This move is part of Beijing's ongoing efforts to reduce income inequality.

Financial institutions owned by the central government have established a salary cap of merely 1 million yuan for top executives. However, their subsidiary companies continue to adhere to the prior 3 million yuan limit for these positions, according to an anonymous source.

Brokerage companies are spearheading the implementation of the wage limit, with some still pending to distribute the 2023 yearly bonuses to their employees, according to another insider from a securities company.

The campaign's next targets will be major government-owned banks, insurance firms, stock markets, and regulatory bodies, according to the source.