Alexa
  • Directory of Taiwan

Hong Kong index rises 1.9 percent, led by property stocks on tax rebate hopes

Hong Kong index rises 1.9 percent, led by property stocks on tax rebate hopes

Hong Kong's benchmark index advanced Tuesday, led by property stocks on expectations of new government tax concessions and more interest rate cuts.
The blue chip Hang Seng Index rose 445.61 points, or 1.9 percent, to 23,714.75.
Analysts said the benchmark index is not likely to rise substantially in the near future, as the continued volatility in global markets keeps many investors on the sidelines. The index is still down 15 percent since the beginning of the year.
Turnover totaled HK$68.68 billion (US$8.81 billion; euro5.93 billion), up slightly from HK$63.70 billion Monday, but still among the lowest daily volumes since August.
"Low trading volume is not a good sign. There (seems to be) no support even though stocks are now trading at attractive valuations," said Linus Yip, a strategist at First Shanghai Securities.
Traders said the local market may get a boost next week ahead of the National People's Congress _ an annual meeting of legislators in China _ on expectations of new policy initiatives aimed at maintaining the health of the Chinese economy.
"Right now there are no signs of large inflows to keep a sustained rise in the benchmark index," said Kingston Lin, associate director at Prudential Brokerage. "That may change with next month's NPC meetings, which could offer some good news to the market."
Property developers led the blue-chip gains Tuesday on expectations that the government would unveil income and property tax rebates when Financial Secretary John Tsang presents his maiden budget Wednesday.
Sino Land jumped 6.6 percent to HK$20.60, Wharf Holdings rose 6.5 percent to HK$40.15, Sun Hung Kai Properties added 4.1 percent to HK$135.70 and Cheung Kong gained 2.1 percent to HK$114.40.
China-related shares also rose, recovering from declines earlier in the session.
Chinese banks listed in Hong Kong were mostly up throughout Tuesday's session. China Construction Bank rose 2 percent to HK$5.62, Bank of China climbed 1.9 percent to HK$3.28 and ICBC advanced 1.8 percent to HK$5.23.
___
On the Net:
http://www.hkex.com.hk


Updated : 2021-05-15 10:36 GMT+08:00