Hong Kong shares rose 38 points, or 0.2%, to 18,818 in early trade on Thursday after a downbeat session the previous day, helped mainly by gains in the financial and technology sectors. Traders enthusiastically responded to China's latest move to turn around its sluggish stock market by encouraging insurance funds to increase the size and proportion of their investments in Chinese A-shares, or mainland-traded companies, and equity funds.
The initiative could bring in at least hundreds of billions of yuan in new capital each year from state-owned insurers, the China Securities Regulatory Commission said. The S&P 500's record close overnight also lifted risk appetite, following a rally in U.S. technology stocks and optimism about the growth of AI under the new administration. However, further gains were capped by concerns over potential new tariffs on Chinese goods imposed by U.S. President Trump. Among large-cap stocks, top movers included SenseTime Group (2.8%), Semicon Manufacturing (2.3%), and Lenovo Group (1.4%).(AL)
Source: Trading Economics
