Hang Seng Explodes 2.6%—What's Behind the Biggest Surge Since the Start of the Year?
The Hang Seng Index surged 700 points, or 2.6%, to close at 27,827 on Wednesday. This was the biggest daily gain since January 2 and its highest close in 4.5 years. This increase also extended the rally to six consecutive sessions, as positive sentiment from Wall Street strengthened on Tuesday.
The gains were fairly evenly distributed across many sectors. Energy and materials led the way, rising around 4.0% and 3.5%, respectively. The boost came from a sharp rise in gold prices, which broke through USD 5,200, while the US dollar weakened to a nearly four-year low. This combination of rising gold and a falling dollar typically leads to commodity and mining stocks being "splashed" by sentiment.
On the corporate side, several catalysts helped lift the market. China reportedly approved the import of the first batch of Nvidia H200 AI chips, sparking attention to technology stocks. Busy Ming Group also stole the spotlight with a 75% surge in its Hong Kong debut after its IPO raised HKD 3.67 billion. In the property sector, China Vanke strengthened after new support from its major shareholder, Shenzhen Metro. Investors are now awaiting the Fed's interest rate decision later today, particularly any hints about the future direction of interest rate policy. (az)
Source: Newsmaker.id
