Hong Kong stocks jump to 3-year high, erasing trade-war loss on China stimulus hopes.
Jerry
Hong Kong stocks surged, pushing the benchmark to a three-year high and erasing all the losses spurred by US President Donald Trump’s new tariffs, as expectations rose that China will introduce more stimulus polices to achieve its newly set annual growth target.
The Hang Seng Index rose 2.6 per cent to 24,216.93 at the noon break, heading for the highest close since February 21, 2022. The Hang Seng Tech Index surged 4.7 per cent, poised to close at a level not seen since December 2021.
On the mainland, the CSI 300 Index climbed 1.3 per cent and the Shanghai Composite Index added 1.1 per cent. The tech-heavy Star Market 50 index advanced 3.5 per cent.
Alibaba Group Holding surged 7.2 per cent to HK$139.30 after releasing a reasoning artificial intelligence (AI) model that it claims can compete with that of DeepSeek. Tencent Holdings jumped 5.8 per cent to HK$535, and Kuaishou Technology soared 14 per cent to HK$59.85. CK Hutchison Holdings extended a record rally sparked by the sale of port assets, climbing 12 per cent to HK$52.65.
China’s growth target of around 5 per cent for the year has raised optimism that more forceful stimulus measures will be necessary given multiple headwinds including deflation, the property market’s woes and frayed ties with the US.
Source: SCMP
