Hong Kong Stocks Continue to Rise, Chinese Property Shadow
Hong Kong stocks rallied again at the start of trading on Thursday, with the Hang Seng Index rising around 82 points, or 0.3%, to 26,012. This marked the fourth consecutive day of gains, in line with Wall Street's rally, which also saw four consecutive sessions amid growing expectations of a Fed rate cut in December. All sectors on the Hang Seng opened in the green, with technology and property stocks leading the gains. Sentiment was also helped by a rebound in major mainland Chinese stock markets after a brief correction.
However, the rally was tempered by the latest data showing that Chinese industrial profits fell 5.5% year-on-year in October, the first decline in three months. This figure reflects continued weak demand and ongoing price pressures in the manufacturing sector. At the same time, the market also weighed on reports that major state-backed property developer China Vanke was seeking to delay payments on onshore bonds due December 15. This news rekindled concerns about the extent of government policy support for the troubled property sector.
At the issuer level, several stocks posted significant gains, contributing to the index's rise. Pop Mart International surged around 7.1%, followed by SMIC (up 3.3%), China Hongqiao Group (up 2.8%), and Xiaomi Corp (up 2.3%). The combination of Fed rate cut expectations, strengthening technology stocks, and a rebound in mainland markets supported short-term sentiment, although risks from slowing industrial profits and pressure in China's property sector remain a looming threat that market participants need to monitor closely. (asd)
Source: Newsmaker.id
