Hong Kong stocks rebounded to their highest level in nearly three months on Wednesday, reignited by the trade agreement reached by China and the United States.
The benchmark Hang Seng Index rose 0.84 percent or 204 points to 24,366 – its highest after March 20. Although the full-day turnover fell by 6 percent to HK$235.2 billion.
In mainland markets, the Shanghai Composite Index once climbed to as high as 3,413 points before closing 0.52 percent higher at 3,402. The Shenzhen Component Index recorded a 0.83 percent rise to 10,246.
Elsewhere, Taiwan’s and South Korea’s stock market benchmarks also gained more than 1 percent to new highs for over three months and three and a half years respectively.
This comes after US and Chinese officials agreed on a framework to put their trade truce back on track and resolve China's export restrictions on rare earth minerals and magnets after two days of intense negotiations in London.
Back in Hong Kong, the Hang Seng Tech Index advanced 1.09 percent to 5,451 points, and the Hang Seng China Enterprises Index marched by 1.12 percent to close at 8,865.
Mainland carmakers rose after 15 major players promised to pay their suppliers within 60 days amid regulatory pressure. BYD (1211), China’s largest electric vehicle seller, rose 3.8 percent to HK$140.80 apiece with the day’s third-largest trading volume in Hong Kong.
Pop Mart (9992), creator of the famed toy brand Labubu, hit a new record high again of HK$269.80 apiece after Morgan Stanley hiked its target price by 35 percent to HK$302 per share, citing the underlying potential from the long-term growth.
STAFF REPORTER and REUTERS
