Hong Kong Stocks Extend Solid Run on Tencent Earnings, China Money-Supply Data
Hong Kong stocks on Thursday extended the gains from Wednesday’s highest close in three weeks, as better-than-expected earnings by Tencent Holdings added to signs that China’s economic activity is picking up.
The Hang Seng Index rose 0.3 per cent to 25,700.51 as of 10.11am local time. The Hang Seng Tech Index gained 0.5 per cent.
On the mainland, the CSI 300 Index climbed 0.9 per cent and the Shanghai Composite Index added 0.5 per cent.
Tencent, the second-biggest weighting on the Hang Seng Index, gained 1 per cent to HK$592. Semiconductor Manufacturing International advanced 3.8 per cent to HK$54.05 and Anta Sports Products added 2.9 per cent to HK$92.60.
Second-quarter net income for Tencent rose 16 per cent from a year ago to 56 billion yuan (US$7.8 billion) based on the global accounting standard, the social-media giant said on Wednesday after the market closed. Sales increased for the 11th quarter, with a 15 per cent increase.
Investors also took comfort from data on China’s money supply. M1, a measure of cash in circulation and corporate demand deposits, rose 5.6 per cent last month from a year earlier, the fastest pace since February 2023, according to a report released by the central bank on Tuesday. An increase in M1 typically points to an improvement in economic activity.
Other major Asian markets were mixed. Japan’s Nikkei 225 slipped 1.4 per cent, while South Korea’s Kospi was little changed and Australia’s S&P/ASX 200 added 0.8 per cent.
Source: SCMP
