[External factors disrupt the rebound process of Hong Kong stocks, and institutional recommendations focus on fundamental layout] September 2nd, disturbed by factors such as the hawkish signal released by the Chairman of the Federal Reserve and high long-term U.S. bond yields, the Hong Kong stock market came under pressure in August and failed to continue the strong rebound in July. The adjustment trend continued on September 1. However, looking at the direction of southbound capital flows, net southbound capital inflows once again exceeded 10 billion Hong Kong dollars in August, and there was no obvious pessimism in the market. In the view of industry insiders, the current probability of the Federal Reserve raising interest rates and the rising risk of U.S. bond interest rates suppressing the room for further repair of Hong Kong stock valuations. The subsequent strength of Hong Kong stocks requires performance verification or the increase of stabilizing growth policies to promote the spread of profit expectations from partial upward revisions to the whole. For future market allocation, it is recommended to focus on areas with higher profitability certainty or independent catalytic factors. AI application leaders, pharmaceutical and biological sectors, high dividend dividend assets, etc. are worthy of attention. (China Securities Journal)