SHANGHAI: China and Hong Kong stocks closed higher on Friday and ended the week with gains as a slew of better-than-expected Chinese economic data lifted sentiment.
China’s blue-chip CSI300 Index closed up 0.3%, while the Shanghai Composite Index gained 0.2%. Hong Kong benchmark Hang Seng added 0.3%.
The CSI300 and Hang Seng closed the week 2.1% and 2.7% higher, respectively.
China’s economy ended 2024 on better footing than expected, helped by a flurry of stimulus measures. The economy grew 5.4% in the fourth quarter from a year earlier, significantly beating analysts’ expectations and marking the quickest rise since the second quarter of 2023.
Meanwhile, industrial output grew 6.2% from a year earlier in December, beating expectations and marked the fastest growth since April.
Technology and semiconductor shares led gains in China and Hong Kong as investors traded around themes of independent innovation amid the threat of a new trade war with the United States.
China’s tech and semiconductor indexes rose 1.4% and 2.4%, respectively.
In Hong Kong, China’s top chip foundry Semiconductor Manufacturing International Corp (SMIC) surged nearly 10%, hovering near its highest since July 2020.
Real estate stocks were roughly flat after official data showed China’s new home prices stopped falling month-on-month in December for the first time in 18 months.
China Vanke fell as much as 9% on Friday following reports that authorities had detained its chief executive. However, the stock pared some losses later in the day.
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