Finance Morning | August 18, 2026 Li Shufu Steps Down as Geely Auto Chairman

📊 Asian Markets Today

1. Li Shufu Steps Down as Geely Auto Chairman, Kicking Off "De-familization" Succession

Effective August 18, 63-year-old Li Shufu officially stepped down as chairman and executive director of Geely Automobile (0175.HK), taking the title of "honorary chairman for life." He will remain chairman of Zhejiang Geely Holding Group.

Geely's management underwent a major reshuffle at the same time: An Conghui takes over as chairman, former CEO Gui Shengyue becomes vice chairman, and Gan Jiayue becomes CEO overseeing day-to-day operations.

Gui Shengyue described the move as a "declaration of de-familization," signaling that the company will no longer rely on individual authority, with more transparent governance and more professional decision-making. As the first generation of private automaker founders reach their sixties, the industry is entering a wave of succession.

2. Alibaba Sells Lingxi Games for Over RMB 10.1 Billion to CITIC Capital

On August 17, Lingxi Games CEO Zhou Bingshu confirmed in an internal letter that Alibaba Group and CITIC Capital's Xinchen Capital had reached a deal, under which Alibaba will sell its entire stake in Lingxi Games, with Xinchen Capital becoming the new shareholder.

According to earlier Bloomberg reports, the deal was valued at more than $1.5 billion, or over RMB 10.1 billion — above the market's expected RMB 7-9 billion range, making it the largest equity M&A deal in China's gaming industry this year.

This is another step in Alibaba's ongoing "slimming down" and refocusing on its core business. Zhou Bingshu said the deal was reached smoothly and amicably, and that he and the management team would remain in place.

3. DJI Wins Procedural Victory in Lawsuit Against US Department of Defense

On August 14 (US time), DJI's lawsuit against the US Department of Defense saw major substantive progress: the US Court of Appeals for the District of Columbia Circuit ruled that a lower court must re-hear the case over DJI's placement on the Pentagon's "Chinese Military Companies" (CMC) blacklist.

DJI was first added to the CMC list in October 2022. The company repeatedly objected and formally sued in October 2024; in 2025, a lower court ruled in favor of the DoD, and DJI appealed.

DJI said the ruling marks an important procedural victory in its years-long legal fight in the United States.

4. Hong Kong's "AI Model Duo" Tumbles as Scarcity Premium Unwinds

Hong Kong's AI large-model leaders Zhipu (2513.HK) and MINIMAX-W (0100.HK) both tumbled sharply: Zhipu fell nearly 17% at one point, touching the HK$1,000 mark, while MiniMax dropped over 12%, reversing gains made since late July.

Dragged by declines in Nasdaq 100 and S&P 500 futures, AI-themed stocks across Asia-Pacific came under pressure, and the previously hot "large-model" names suffered profit-taking, with Zhipu posting losses for three consecutive sessions.

Analysts note that as supply of AI model stocks increases, the scarcity premium the market once granted is rapidly unwinding, prompting investors to reassess valuations.

5. SoftBank Plans Record ¥1 Trillion Retail Bond Issue

According to Nikkei, SoftBank Group is preparing to issue corporate bonds targeting individual investors, with the amount expected to reach ¥1 trillion — which would be the largest retail bond issue ever by a Japanese company.

Amid the global AI investment race, SoftBank's funding needs are intensifying, and this bond issue aims to tap Japan's ample household savings to fund its AI and frontier-tech investments.

SoftBank has already tapped retail investors with multiple bond issues this year to fuel its AI bets; the funding costs are high, but the scale of its AI spending leaves it little choice.

6. South Korea's KOSPI Falls 1.55%, SK Hynix Bucks the Trend

South Korea's KOSPI closed down 1.55% at 6869.83, snapping its recent winning streak. Rising bond yields weighed on equities, while tech heavyweights traded mixed.

SK Hynix rose about 1%, a bright spot in the memory-chip sector, while Samsung Electronics and other heavyweights came under pressure and dragged the index lower.

Investors are wary of rising long-end US Treasury yields and valuation pressure on global tech stocks, with foreign and retail sentiment turning cautious.

7. Taiwan's Weighted Index Falls in Line with Regional Pullback

Taiwan's weighted index closed down 1.10% at 45308.68, breaking below the 46000 mark, moving in line with Japanese and Korean markets in a broad regional selloff.

Dragged by rising US Treasury yields and weakness in global tech stocks, semiconductor heavyweights such as TSMC came under pressure, dampening risk appetite.

Overall, cautious sentiment prevailed across Asia-Pacific, with profit-taking in high-valuation tech names weighing on Taiwan's market in the near term.

8. Global Stocks and Bonds Slump as 30-Year US Yield Hits Highest Since 2007

US long-dated Treasuries were sold off, sending the 30-year yield to its highest level since the eve of the 2007 global financial crisis, with the 10-year yield rising in tandem.

The bond selloff reflects investor concerns over surging debt issuance, a widening fiscal deficit, and inflation that remains stuck above the Federal Reserve's target.

The surge in long-end yields dragged on global risk assets: US tech stocks fell broadly in pre-market trading, oil rose while gold and silver weakened, and Asia-Pacific equities broadly pulled back.

9. China's Moderately Loose Monetary Policy Continues to Take Effect

China's moderately loose monetary policy continues to deliver results, with financial data showing reasonable aggregate volumes and an improving structure.

The central bank has used a range of monetary tools to keep liquidity reasonably ample, guiding financing costs lower and channeling funds toward key sectors and weak links of the real economy.

Analysts say that as policy effects gradually materialize, economic stabilization and structural adjustment are gaining firmer financial support.

10. Gold Hovers Around $4,400 as Market Divisions Widen

International gold prices have entered a tug-of-war after breaking above $4,400, having surged more than 10% over the past month, with bulls and bears increasingly divided.

Wall Street institutions hold sharply divergent views on gold allocation, ranging from 2-5% to 5-15% and up to 20%, with the market's focus shifting from "whether to buy gold" to "how large a position gold should be."

Among the bulls, Goldman Sachs sees gold reaching $5,400 by year-end, while cautious voices warn of overbought signals and the risk of a rapid pullback.