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Hong Kong: Shares surge after China cuts rates


[SHANGHAI] Hong Kong shares rose sharply on Monday after China's central bank caught markets off-guard by cutting benchmark lending rates on Friday to shore up the cooling economy.

Gains in property and brokerage stocks led benchmark indexes in Hong Kong and mainland China higher as investors anticipated a cut in mortgage rates.

The HSI index rose 1.9 per cent - its biggest percentage change since Sept 3 - to close at 23,893.14 points.

The Hong Kong China Enterprises Index gained 3.8 per cent, to 10,842.83 points.