Shares rose more than three percent in Hong Kong on Monday morning, in line with a rally across Asian markets, with weak economic data easing concerns over central bank interest rate hikes.
The Hang Seng Index jumped 3.15 percent, or 684.47 points, to 22,403.53 — its highest level since early April.
The gains came on the back of a rally in tech giants including Alibaba and JD.com on hopes that China’s crackdown on the sector is about to end.
Macau casino operators were also on the front foot on hopes for a possible announcement on the easing of Covid containment measures when Hong Kong holds celebrations for the 25th anniversary of its handover to China at the end of the week.
“More investors are recognizing that China’s regulatory environment is turning supportive and there will be further economic stimulus ahead,” Vey-Sern Ling, of Union Bancaire Privee, said.