Hong Kong stocks break losing streak as techs rally

Hong Kong stocks snapped a three-day losing streak as the Hang Seng Index rose 165.61 points to close at 23,072.86, driven by a tech rally and despite fears of a fifth Covid wave and a faster-than-expected rise in US interest rates.

Alibaba (9988) rose 5.7 percent, the best performer among blue chips, after its shares fell on Wednesday as Beijing punished the tech giant for anti-competitive behavior.

Tencent (0700) rose 1.49 percent after its dominant messaging app Weixin in China, which is known as WeChat outside the country, said that the average daily active users for its mini-programs hit 450 million in 2021.

Meanwhile, India on Wednesday said it had asked the local unit of Chinese smartphone giant Xiaomi (1810) to pay 6.53 billion rupees (HK$680 million) in import taxes after an investigation found that the company had evaded some duties.

Hong Kong property stocks were pressured amid fears over the fifth wave of infections, with Henderson Land Development (0012) down 1.37 percent, while billionaire Li Ka-shing acquired a total of 680,000 shares in CK Asset (1113) via a unit, boosting his stake in the developer from 46.42 percent to 46.44 percent.

Some penny stocks slid, with Hans Energy (0554) once down as much as about 80 percent to HK$0.098.

US Federal Reserve officials are preparing to move quicker than the last time they tighten monetary policy in a bid to keep the US economy from overheating amid high inflation and near-full employment.