Hong Kong stocks score 8-day winning streak as Fed tone less hawkish than feared

SenseTime

02/05/2024 09:52

(Updates to market close)
    By Summer Zhen
       HONG KONG, May 2 (Reuters) - Hong Kong stocks kick
started May on a strong note on Thursday, after less
hawkish-than-expected comments from the U.S. Federal Reserve,
while Beijing vowing to step up economic support also buoyed
sentiment. 
    The Hang Seng Index  .HSI  closed 2.5% higher, notching
eighth straight day of gains, led by a rally in technology,
property and financial stocks. 
    Chinese markets are closed for holidays from May 1-3.
    Indexes tracking Hong Kong-listed Chinese tech giants
 .HSTECH  and Chinese property developers  .HSMPI  surged more
than 4%, each. 
    Hong Kong shares of Standard Chartered  2888.HK  gained 6%
after its first quarter profit beat forecasts. 
    U.S. stock and bond prices turned higher overnight after the
Fed's comments were seen less hawkish than feared. Fed Chair
Jerome Powell preached patience that may delay rate cuts, but
also means a high bar for any more hikes.
    China vowing to step up support for the economy with prudent
monetary and proactive fiscal policies, including interest rates
and bank reserve requirement ratios, also boosted investor
sentiment. 
    ** At the close of trade, the Hang Seng index  .HSI  was up
444.10 points or 2.5% at 18,207.13. The Hang Seng China
Enterprises index  .HSCE  rose 2.6% to 6,437.09.
    ** The sub-index of the Hang Seng tracking energy shares
 .HSCIE  dipped 1.5%, while the IT sector  .HSCIIT  rose 4.17%,
the financial sector  .HSNF  ended 2.37% higher and the property
sector rose 2.82%.
    ** The top gainers among H-shares were SenseTime Group Inc
 0020.HK  up 36.07%, followed by JD Health International Inc
 6618.HK , gaining 10.68% and Meituan  3690.HK , up by 8.77%.

 (Reporting by Summer Zhen; Editing by Rashmi Aich and Sohini
Goswami)
 ((summer.zhen@thomsonreuters.com; 852-3462-7739;))