Hong Kong stocks staged a sharp rally on Tuesday driven by unconfirmed market speculation that Beijing will set up an expert team to form a “reopening plan” with a goal of materially reopening the country by Mar next year.
The Hang Seng Index surged 5.2% to close at 15,455, the Hang Seng China Enterprises. Index up 5.6%% and the Hang Seng Tech Index skyrocketed 7.8% to recover 3,000 mark.
Technology heavyweights led the rally, with Kuaishou surging more than 15%, Meituan and Tencent up more than 10%, JD.com, NetEase, Alibaba and Baidu surging more than 7%.
Catering companies, tourism companies, airlines, movie and entertainment companies and casino operators surged.
Aerospace outperformed. Chinese property developer CIFI Holdings tumbled 25% after it suspended all payments of offshore debt.
The Shanghai Composite Index 2.6% to close at 2,969, the Shenzhen Component Index up 3.2% and the tech-heavy Chinext Price Index up 3.2%. The blue-chip CSI 300 Index jumped 3.6% and the SSE50 Index surged 4.4%.
Gains were seen across the board, with consumer stocks including catering companies, tourism companies, liquor makers, food producers leading the gains.
Construction machinery manufacturers, building material suppliers, insurance companies, automakers, auto parts suppliers, drugmakers and agriculture companies also jumped.