Hong Kong shares rise as gaming firms rebound; China edges up

NetEase

27/12/2023 08:36

(Updates to market closing levels)
       SHANGHAI, Dec 27 (Reuters) - Hong Kong stocks rebounded
as the market reopened on Wednesday, led by a rally in gaming
firms after regulators vowed to make improvements to proposed
rules that had sent stocks in gaming companies plunging.
    Mainland China shares edged up, with semiconductor firms
leading the gains.
    
    ** Hong Kong's Hang Seng Index  .HSI  rose 1.7%, and the
Hang Seng China Enterprises Index  .HSCE  climbed 2.1% at market
close.
    ** The blue-chip CSI 300 Index  .CSI300  ended 0.4% higher,
and the Shanghai Composite Index  .SSEC  added 0.5%.
    ** The broad Asian stocks also rose, tracking a Wall Street
rally as investors latched on to the year-end optimism driven by
expectations the Federal Reserve could begin cutting rates as
early as next March.
    ** Tech giants listed in Hong Kong  .HSTECH  climbed 2.6%,
with Tencent Holdings  0700.HK  up 4% and NetEase  9999.HK 
jumping 11.9%, following sharp declines in the two gaming giants
in the previous session, as China's new rules to curb spending
on video games dented sentiment.
    ** To soothe sentiment, China's video game regulator - the
National Press and Publication Administration - has struck a
more conciliatory tone, saying it would improve the rules by
"earnestly studying" public views. It then approved new licenses
for 105 domestic online games for December - more than the
monthly average.
    ** However, China's Anime Comic Game Index  .CSI930901 ,
covering smaller game makers listed in mainland markets, closed
down 0.7%, following a 15% slide over the previous three
sessions.
    ** China's November industrial profits posted double-digit
gains as overall manufacturing improved, although soft demand
continued to constrain business growth expectations.
    ** Foreign investors bought a net 5.6 billion yuan ($783.97
million) of Chinese stocks via the Stock Connect, booking the
biggest daily inflow since December. 
    ** In China markets, shares in semiconductors  .CSIH30184 
and energy companies  .CSIEN  jumped 1.5% each, while securities
brokers  .CSI399707  advanced 0.7%.


($1 = 7.1431 Chinese yuan)

 (Reporting by Shanghai Newsroom; Editing by Mrigank Dhaniwala)
 ((Jason.Xue@thomsonreuters.com))