Hong Kong: Stocks end higher on first day of trade in 2021
[HONG KONG] Hong Kong stocks tracked gains in other Asian markets to kick off the new year on an upbeat note, although the gains were capped by Sino-US tensions.
The Hang Seng index rose 0.9 per cent to 27,472.81, its highest since Feb 20, 2020, while the China Enterprises Index lost 0.1 per cent to 10,722.99.
Leading the gains, the Hang Seng materials index and the Hang Seng industrials index climbed 4. per cent and 3.3 per cent, respectively.
Money would flow back to traditional stocks, thanks to expectations of a global economic recovery on vaccine progress, while consumer firms are expected to benefit from China's continued measures to stimulate the country's consumption, KGI Securities noted in a report.
Activity in China's factory sector rose in December as the economy sustained its recovery to pre-pandemic levels, a business survey showed on Monday.
Capping gains, however, was China's firm opposition to the US government's move to politicise trade issues after the New York Stock Exchange began delisting three Chinese telecom firms that Washington says have military ties.
GET BT IN YOUR INBOX DAILY
Start and end each day with the latest news stories and analyses delivered straight to your inbox.
Bucking the broad strength, the Hang Seng telecommunications index declined 1.1 per cent.
REUTERS
KEYWORDS IN THIS ARTICLE
BT is now on Telegram!
For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes
Capital Markets & Currencies
Asia: Markets build on Wall Street rally, yen holds bounce
Singapore shares open in the red on Tuesday; STI down 0.3%
Stocks to watch: Wilmar, MLT, FEHT, CDLHT, Starhill Global Reit, IReit Global
Europe: Stocks eke out gains after German inflation data; Deutsche Bank drops
US: Stocks end higher, extending rally
Yen surges against US dollar on suspected intervention