Advertisement
Hong Kong stock market
BusinessChina Business

Hong Kong stocks rise as investors look for signs of fresh China stimulus

Stocks rise as enthusiasm for China’s tech sector outweighs risks brought by new US tariffs on steel and aluminium imports

Reading Time:2 minutes
Why you can trust SCMP
1
Exchange Square in Hong Kong’s Central district. Photo: Jelly Tse
Yulu Ao
Hong Kong stocks rose on Monday as investors looked for signs of new stimulus from China after US President Donald Trump said he would introduce new 25 per cent tariffs on all steel and aluminium imports into the country, on top of existing metals duties.

The Hang Seng Index added 1.8 per cent to 21,521.98 at the close of trading, extending a 4.5 per cent increase from last week. The Hang Seng Tech Index jumped 2.7 per cent. The gauge has risen 19 per cent since the start of the year, driven by optimistic bets on Chinese technology companies. On the mainland, the Shanghai Composite Index gained 0.6 per cent.

Technology firms continued to lead the market, aided by optimism over China’s global position in artificial intelligence technology. E-commerce giant Alibaba Group Holding jumped 5.5 per cent to HK$105.50, while technology firm Baidu strengthened 3.7 per cent to HK$89.45.

Food delivery company Meituan surged 5.6 per cent to HK$162.70, while short-video platform Kuaishou Techonology advanced 2.9 per cent to HK$47.65. Tech company carmaker Xiaomi increased 3 per cent to HK$43.75.

On the downside, power tool producer Techtronic Industries slipped 1.9 per cent to HK$100.30 and car dealer Zhongsheng Group dropped 1.5 per cent to HK$13.62. Sportswear brand Li Ning slid 1.2 per cent to HK$16.06.

On Sunday, Trump said he would apply 25 per cent tariffs on all steel and aluminium imports from all countries into the US, adding that he would unveil reciprocal tariffs on countries that tax US imports, which could be effective on Tuesday or Wednesday.

Advertisement