Hong Kong stocks closed the midday session higher on Tuesday, after tech companies surged following a rebound in Apple shares in the US overnight. Chinese financials and carmakers were also boosted in line with gains in the mainland market.
The Hang Seng Index rose 1.17 per cent, or 351.69 points, to 30,345.95 by midday. The index however remains within the 29,900 to 31,100 tight range where it has been consolidating in the past month. The Hang Seng China Enterprises index climbed 1.57 per cent, or 188.36 points, to 12,154.77.
“Apple’s rebound triggered broad gains in Hong Kong,” said Kenny Wen, wealth management strategist at Sun Hung Kai Financial. “But we still need to wait and see if market sentiment can recover further and push the Hang Seng Index to break out of its current trading range in the coming weeks.”
Apple supplier AAC Technologies Holdings jumped 5.14 per cent to HK$118.60, lens maker Sunny Optical Technology (Group) climbed 4.83 per cent to HK$141.10 and Tencent Holdings rebounded 2.53 per cent to HK$389.60 after three days of declines.
Investors are also awaiting internet giant Tencent’s quarterly results next Wednesday, while optimism may grow with the approach of MSCI’s inclusion of yuan-denominated shares into its Emerging Market Index on June 1 and the recent IPO listing changes in China and Hong Kong’s capital markets, analysts said.
