Hong Kong stocks climb on cooling Mideast tensions, trade optimism

Guangdong Investment

09/01/2020 08:39

* HK->Shanghai Connect daily quota used 7.9%, Shanghai->HK
daily
quota used 2.5%
    * HSI +1.7%, HSCE +1.8%, CSI300 +1.3%
    * FTSE China A50 +1.1%

    Jan 9 (Reuters) - Hong Kong stocks staged a strong rally on
Thursday, erasing all losses from the previous session, as
U.S.-Iran drew back from the brink and investors cheered signs
of Sino-U.S. trade progress. 
    ** The Hang Seng index  .HSI  rose 1.7%, to 28,561.00, while
the China Enterprises Index  .HSCE  gained 1.8%, to 11,281.26
points.   
    ** U.S. President Donald Trump said on Wednesday the United
States did not have to respond militarily to Iran's attack,
while Iranian Foreign Minister Mohammad Javad Zarif said its
strikes "concluded" Tehran's retaliation.  urn:newsml:reuters.com:*:nL8N29D36B
 urn:newsml:reuters.com:*:nL1N29D050 
    ** Sentiment was further supported as investors awaited the
upcoming signing of a Sino-U.S. trade deal. 
    ** China's Vice Premier Liu He, head of the country's
negotiation team in Sino-U.S. trade talks, will sign a "Phase 1"
deal in Washington next week, the commerce ministry said on
Thursday.  urn:newsml:reuters.com:*:nL4N29E1R0 
    ** President Trump said on Dec. 31 that the Phase 1 deal
with China would be signed on Jan. 15 at the White House.
    ** Market participants also drew optimism from data showing
China's consumer inflation steadied while factory-gate prices
fell at a slower pace in December, giving Beijing room to stay
the course on monetary easing as economic growth cools.
 urn:newsml:reuters.com:*:nL4N29E0IY  
    ** Around the region, MSCI's Asia ex-Japan stock index
 .MIAPJ0000PUS  was firmer by 1.5%, while Japan's Nikkei index
 .N225  closed up 2.31%.
    ** The yuan  CNY=CFXS  was quoted at 6.9311 per U.S. dollar
at 08:10 GMT, 0.21% firmer than the previous close of 6.9456. 
    ** At close, China's A-shares were trading at a premium of
26.92% over Hong Kong-listed H-shares.

 (Reporting by Luoyan Liu and Brenda Goh; Editing by Shailesh
Kuber)
 ((luoyan.liu@thomsonreuters.com; Reuters Messaging:
luoyan.liu.thomsonreuters.com@reuters.net))