Hong Kong's Hang Seng Index experienced a decline of over 2% recently, with the Hang Seng Automobile Index falling more than 3%. Key automotive stocks such as NIO, XPeng, BYD, Xiaomi, and Li Auto saw losses ranging from 3.6% to 5.8%. However, the following day, the Hang Seng Index rebounded, opening up 0.9%, with the Hang Seng Tech Index gaining 1.58% and the Automobile Index set to rise by 1.3%. Mainland China's commodity futures showed gains, with the INE Freight Index up 1.6%, crude oil rising 1.2%, and metals like zinc, aluminum, copper, tin, silver, gold, iron ore, and steel rebars also increasing modestly. The People's Bank of China (PBOC) conducted open market operations, injecting 92 billion yuan through 7-day reverse repos at a rate of 1.4%, while net draining 103.5 billion yuan on one day and 219.1 billion yuan on another. Additionally, the PBOC lowered the reserve requirement ratio (RRR) by 0.5 percentage points for financial institutions starting May 15, 2025, releasing approximately 1 trillion yuan ($138.77 billion) into the financial system, with analysts anticipating further cuts of 100 to 200 basis points this year. The Shanghai Composite Index recovered above the 3,400-point level for the first time in two months, and FTSE China A50 futures gained over 1.7%. Southbound net buying via the Stock Connect reached 5 billion yuan. In corporate news, Guangzhou-based autonomous driving startup Pony AI confidentially filed for a Hong Kong initial public offering (IPO) after raising about $413 million in a U.S. IPO in November 2024. Despite the filing, Pony AI declined to comment on the report and its shares closed down 4.4% in New York.