HONG KONG: Hong Kong stocks ended a truncated day of trading with more gains Wednesday, building on the previous day’s surge on hopes China will begin winding back some of its painful zero-Covid policies.

The Hang Seng Index rose 2.41 percent, or 371.90 points, to 15,827.17, a day after climbing more than five percent.

The surge came after an unverified post on social media suggested officials were forming a committee to discuss rolling back some of the country’s strict measures, which have stunted growth and hit supply chains.

Hong Kong stocks surge on China zero-Covid rumours

The Shanghai Composite Index rose 1.15 percent, or 34.17 points, to 3,003.37, while the Shenzhen Composite Index on China’s second exchange climbed 1.33 percent, or 25.85 points, to 1,968.20.

The Hong Kong market was closed early Wednesday due to Severe Tropical Storm Nalgae skirting the city.