Hang Seng Rises, Technology Stocks a Strong Magnet
The Hong Kong stock market rallied again on Friday (July 3). The Hang Seng Index rose 1.7%, or 383 points, to 23,445, continuing its rally for the second consecutive day. This increase was supported by technology, financial, and consumer stocks.
The Hang Seng's rally occurred while several other Asian markets remained pressured by weakening technology and artificial intelligence (AI) stocks. In global markets, some investors began to exit AI stocks, believing the sector's rally had become too high.
However, in Hong Kong, investors continued to seek out internet stocks, considering their valuations more attractive. Market sentiment also improved after the latest US employment data eased concerns about further Federal Reserve interest rate hikes.
Furthermore, falling oil prices supported investor risk appetite. Normalized shipping flows through the Strait of Hormuz have eased concerns about energy inflation, helping the stock market move more positively.
Several large-cap stocks were the main drivers of the index. Tencent Holdings rose 2.7%, Xiaomi jumped 5.7%, Knowledge Atlas gained 11.8%, Kuaishou Technology gained 6.2%, and AIA added 1.5%. These broad gains indicate a revival in investor buying interest in Hong Kong. (asd)
Source: Newsmaker.id
