The benchmark Hang Seng Index declined 0.5 percent in February with a 3.3 jump in the final two trading days helping to trim losses.
Robust earnings from local property bellwethers could sustain that rally as markets recover from the dislocation of oil price volatility and political turmoil in the Middle East.
Sun Hung Kai Properties Ltd , Asia's largest developer by market value, posted a 60 percent rise in underlying profit in the first six months, beating forecasts on strong property sales in the Chinese territory.
HSBC Holdings Plc , the biggest weight on Hong Kong's benchmark, is likely drop, however, following declines in the bank's New York and London-listed shares after the lender cut its profitability targets.
High expectations among investors about HSBC have boosted the stock, which is up 13.4 percent in Hong Kong this year, easily outpacing the Hang Seng Index's 1.3 percent advance.
Elsewhere in Asia, Japan's Nikkei was up 0.8 percent. South Korean markets remained shut a public holiday.
STOCKS TO WATCH:
Aluminum Corp of China Ltd (Chalco), the country's top aluminium maker, returned to profit in the fourth quarter of last year, but it is wary about the impact the pace of global recovery may have on demand.
Fosun Pharmaceutical will seek to list in Hong Kong by offering new shares in a deal that could raise up to 6 billion yuan ($910 million), its parent Fosun International Ltd said on Monday.
HSBC Holdings Plc cut its profitability target becuase of the cost of tougher banking regulations and plans to cut costs and overhaul other areas after its annual profit fell short of expectations.
Seng Bank Ltd, 62 percent owned by HSBC, posted a 14 percent rise in 2010 profit to HK$14.9 billion.
Hong Kong tycoon Li Ka-shing's ports unit is looking to raise as much as $5.8 billion in its Singapore IPO, seeking to cash in on a recovery in global trade and provide investors with access to China's booming infrastructure business. Hutchison Whampoa Ltd is spinning off Hutchison Port Holdings Trust in a separate listing in Singapore to take advantage of regulations that are favourable for trust-like companies.
China's three major state-owned oil and gas companies, including parents of China Petroleum & Chemical Corp, PetroChina Co Ltd and CNOOC Ltd, have evacuated all Chinese employees from Libya, the companies said.