Hang Seng Soars Near 2% at Close
The Hang Seng surged 346 points or 1.8% to end at 19,220 on Tuesday, halting a six-session of falls after China’s top securities regulator said it would work with the PBoC to enhance policy tools, which allows institutional investors to access central bank funding for buying stocks.
In other news, the PBoC indicated it will increase forex reserves allocated to assets in Hong Kong. On the data front, new yuan loans jumped in December after falling to their lowest level since 2012 in November. Separately, US futures rose markedly on optimism that the Fed will hold rates later this month. Meantime, Donald Trump’s incoming economic team is mulling a gradual approach to increasing tariffs.
However, rises were capped by caution ahead of Q4 China's GDP prints and December activity data, such as industrial output and retail sales, in the coming days. Gains were widespread, with top winners including Meituan (5.1%), Kuaishou Tech. (4.9%), BYD Electronic Intl. (3.6%), and Xiaomi Corp. (2.9%).
Source: Trading Ecnomics
