Hang Seng Rally Gains, Investors Remain Cautious
The Hang Seng continued to strengthen on Tuesday (February 10th), rising 156 points (0.6%) to close at 27,183. This marked a second consecutive day of gains, with most sectors contributing to the market's rise—a sign that risk appetite is returning, although it hasn't completely emerged from "cautious" mode.
Sentiment boosted by Wall Street, after the Dow Jones Industrial Average hit another record on Monday. The market also began to position itself ahead of a series of crucial US economic data, including the previously delayed payrolls report. Meanwhile, Chinese markets also rallied on optimism that Chinese New Year travel demand would be strong—usually a strong indicator of domestic consumption.
Geopolitical concerns also played a role. Politico reported that Trump planned to meet Xi Jinping in Beijing in April, leading the market to believe tensions could be more "measured" for the time being. However, the Hang Seng's gains were slightly pared back as investors held back ahead of China's CPI and PPI releases on Wednesday, and the nine-day long holiday that begins February 15th.
At the stock level, Innovent Biologics surged 5% after management expressed confidence in achieving its 2027 revenue target of CNY 20 billion. JF SmartInvest surged 9.3% on strong revenue projections, while Axera Semiconductor performed strongly in its Hong Kong debut. But not everyone was in the party: Zhaojin Mining plunged 6.3% after reports of a fatal gold mine accident.
Source: Newsmaker.id
