Hong Kong-listed biotech stocks pulled back: Yunding Xinyao (01952.HK) fell nearly 10%, CanSino Biologics (06185.HK) fell over 8%, Yunkang Group (02325.HK) fell over 7%.

BofA analysts say uncertainty over AI monetization and intensified competition from China and the US could force AI model vendors to cut prices, undermining lofty profit expectations. Rising borrowing costs will further pressure corporate earnings. European equities already price in sustained AI spending; a reversal in AI momentum would weaken that optimism. BofA forecasts the Stoxx Europe 600 will fall about 10% to 580 by Q2 2027.

Zhaoqing XPeng New Energy Investment Co. filed a recall with SAMR (S2026M0101V) under China’s defective-vehicle regulations, effective Aug. 22, 2026, covering 264,842 vehicles. Affected units: G6 produced Apr. 7, 2023–Dec. 22, 2025 — 134,588 units; P7+ produced Jul. 23, 2024–Dec. 10, 2025 — 94,688 units; X9 produced Aug. 8, 2023–Sep. 26, 2025 — 35,566 units. Defect: interior emergency mechanical door handles have similar color to trim, reducing recognizability and operability; in severe collisions that disable the vehicle low-voltage system this may hinder rapid door opening and passenger escape. Remedy: the company will apply free warning labels at the interior emergency-handle locations to mitigate the safety risk.