SHANGHAI: Hong Kong stocks clocked their best one-day performance in three months on Friday, while China stocks also rose as a private survey showed the country’s services activity picked up in October.
China’s blue-chip CSI300 Index ended 0.8% higher, while the Shanghai Composite Index gained 0.7%. Hong Kong benchmark Hang Seng Index surged 2.6%.
For the week, the CSI300 Index and the Hang Seng Index added 0.6% and 1.5%, respectively.
China’s services activity growth in October was slightly better than in the previous month, a private-sector survey showed, though new orders rose at their slowest rate in 10 months with employment stagnating as business confidence waned.
The pace of expansion, however, disappointed some investors as it remained much slower than the average growth in the first half of the year.
Meanwhile, consumer-related stocks led the gains in China, with liquor shares rising 1.1%.
Computer stocks also climbed, up 2.3%.
Market sentiment towards China stocks will stay volatile in the near term unless investors see positive signs such as housing market stabilisation and improvement in Sino-US relationship, analysts at Morgan Stanley said in a note.
In Hong Kong, the stock rally overnight in New York boosted the sentiment, especially lifting internet stocks.
Tech stocks rose 3.5% to log their best single-day performance in one month, with Alibaba and Tencent up 3.0% and 5.3%, respectively.
Shares of China Evergrande opened more than 6% higher before reversing some gains, after news that the troubled developer had proposed a new debt restructuring plan.
Shares of sportswear group Li Ning jumped 6.6%, after filings showed that Singapore sovereign fund GIC had boosted stake in the company.
Comments
Comments are closed.