HSI surges 34 pts midday as China's economy beats estimates

The Hang Seng Index rose 34 points at midday, aligning with the uptrend in mainland stocks, as China's economic growth in the last quarter surpassed expectations, reaching a six-quarter high of 5.4 percent.

The China Enterprise Index dropped 7 points to 7,091, while the Technology Index gained 55 points, or 1.3 percent, to 4,473.

Chipmakers performed well. Semiconductor Manufacturing International (0981) jumped 10.6 percent to HK$39.8, making it the best-performing blue-chip stock at midday with the highest trading volume. HG Semiconductor (6908) soared 16.4 percent, Hua Hong Semiconductor (1347) climbed 8.2 percent, and ASMPT (0522) gained 3.5 percent.

Official data showed that China's decline in home prices eased for a fourth consecutive month in December, boosting the performance of mainland property stocks. Longfor (0960) rose 4.1 percent, China Overseas Land & Investment (0688) gained 2.9 percent, and China Resources Land (1109) increased 3.3 percent. 

Food and beverage stocks rose, with Tingyi (Cayman Islands) (0322) climbing nearly 5 percent, while China Mengniu Dairy (2319) and Budweiser Brewing (1876) both gained close to 3 percent.

(Melody Chen)