Hong Kong: China and Hong Kong stocks rose on Thursday as tourism shares rallied and signs of easing U.S.-China tensions lifted investor sentiment.
At the midday break, the Shanghai Composite index was up 0.5% at 3,599.44 points, on track to register a sixth straight session of gains. China’s blue-chip CSI300 index was up 0.45%.
Leading gains onshore, China’s CSI Tourism Index rose more than 3%, while China Tourism Group Duty Free jumped by the 10% daily trading limit following a launch plan for the Hainan Free Trade Port.
In Hong Kong, the Hang Seng Index was up 0.6% at 25,688.87, the highest level since November 2021.
Chinese stocks have been steadily rising in recent weeks, buoyed by Beijing’s efforts to curb excessive competition and overcapacity and signs of improving U.S.-China trade relations.
The Shanghai Composite index is now on track to register a fifth week of gain, which would mark its longest winning streak since February 2024.
“Although there hasn’t been any unexpected change in the top-down macroeconomic picture, there are still many structural opportunities within the stock market,” analysts at Cinda Securities said in an note.
Fresh signs of easing U.S.-China trade tensions also helped lifted sentiment. President Donald Trump said on Wednesday that the United States was in the process of completing a trade deal with China and would be setting straight tariffs for most countries.
Around the region, MSCI’s Asia ex-Japan stock index was up 0.47%, while Japan’s Nikkei index gained 1.71%.