Hong Kong, China stocks end higher

Written by admin on 30/07/2019 Categories: 佛山桑拿

Shares in Hong Kong and China have rallied on hopes Beijing will unveil new measures to boost the mainland economy after last week’s mini-stimulus.

南宁桑拿

In Hong Kong on Tuesday, the benchmark Hang Seng Index rose 0.98 per cent, or 219.82 points, to 22,596.97 on turnover of $HK73.87 billion ($A10.31 billion).

The gains follow two successive sessions of losses and come despite a heavy sell-off on Wall Street that saw tech firms, which helped fuel last year’s rally, tumble.

Beijing last week unveiled a series of measures aimed at kick-starting the Chinese economy after a weak run of indicators, including on trade, investment and industrial output.

The plan includes extra spending on railways, improving low-income housing and tax relief for small businesses, which have been struggling along with the economy.

Mainland stocks listed in Hong Kong – which dropped 6.9 per cent in the first quarter – continued to claw back losses.

Internet giant Tencent rose 1.6 per cent to $HK509.5, China Mobile added 1.39 per cent to $HK72.8 and Bank of China was up 1.75 per cent at $HK3.48.

HSBC rose 0.25 per cent to $HK78.70, Cathay Pacific Airways surged 4.40 per cent to $HK14.72 and Ping An Insurance of China gained 1.53 per cent to $HK66.30.

In China, the benchmark Shanghai Composite Index, which was closed on Monday for a public holiday, jumped 1.92 per cent, or 39.45 points, to 2,098.28 on turnover of 108.0 billion yuan ($A18.83 billion).

The Shenzhen Composite Index, which tracks stocks on China’s second exchange, rose 0.95 per cent, or 10.13 points, to 1,078.20 on turnover of 94.4 billion yuan.

“The strong performance of banks, helped by cheap valuations and expectations for good first-quarter earnings, pushed up the (Shanghai) index,” Haitong Securities analyst Zhang Qi said.

Hopes that banks will soon issue preferred shares, constituting an additional funding channel, boosted sentiment, he said.

China’s stock regulator on Friday issued guidelines regarding information disclosure for preferred stock issues to prepare for the trial scheme announced last month.

Industrial Bank surged 8.04 per cent to 10.35 yuan while China Minsheng Banking gained 4.76 per cent to 8.14 yuan.

Defence stocks were higher on hopes for more government spending in the sector.

China Avic Electronics jumped 6.48 per cent to 20.21 yuan and Jiangxi Hongdu Aviation Industry rose 3.21 per cent to 16.42 yuan.

Comments Off on Hong Kong, China stocks end higher