Hong Kong stocks experienced a significant reversal on October 3rd, marking their first decline since September 24th. The Hang Seng Index dropped 3.12%, the largest fall since January 17th, while the Hang Seng Tech Index fell 5.19%, its biggest drop in two years. This downturn followed a 13-day rally driven by foreign capital and a series of economic stimulus measures from Beijing aimed at boosting the lagging economy. Analysts from JP Morgan described the market's behavior as a rational correction. Despite the recent sell-off, HSBC upgraded mainland Chinese stocks to overweight from neutral, citing policy support. The recent rally had pushed Chinese stocks to their best week in 16 years, with the Hang Seng Index reaching a nearly two-year high. The HSCEI gauge also declined after a 30% rally. Real estate stocks saw significant drops, with some falling over 30%. Stock brokers described the rally as a 'once in a century' event. Foreign institutional investors showed strong interest, contributing to the market's momentum. However, analysts remain cautious about the sustainability of the rally, emphasizing the need for more concrete economic improvements to maintain investor confidence.