The Hong Kong stock market on Monday wrote a finish to the two-day losing streak in which it had plummeted more than 370 points or 1.3 percent. The Hang Seng Index now rests just above the 29,050-point plateau and it's called higher again on Tuesday.
The global forecast for the Asian markets is positive on optimism over U.S. tax reform. The European and U.S. markets were firmly higher and the Asian bourses figure to follow suit.
The Hang Seng finished modestly higher on Monday following gains from the financials, properties and oil companies.
For the day, the index spiked 202.30 points or 0.70 percent to finish at 29,050.41 after trading between 28,821.19 and 29,143.33.
Among the actives, Kunlun Energy surged 8.08 percent, while Industrial and Commercial Bank of China spiked 1.79 percent, Sun Hung Kai Properties soared 1.75 percent, China Petroleum and Chemical (Sinopec) jumped 1.10 percent, AIA Group climbed 1.05 percent, Sands China dropped 0.98 percent, China Life added 0.63 percent, Henderson Land gained 0.61 percent, Hong Kong & China Gas fell 0.40 percent, Lenovo Group shed 0.23 percent, CNOOC lost 0.18 percent, Ping An eased 0.13 percent, Galaxy Entertainment picked up 0.08 percent and Belle International, Li & Fung and New World Development were unchanged.
The lead from Wall Street is firm as stocks opened higher on Monday and stayed that way throughout the trading session, allowing the major averages to hit fresh record closing highs.
The Dow climbed 140.46 points or 0.57 percent to 24,792.20, while the NASDAQ gained 58.18 points or 0.84 percent to 6,994.76 and the S&P 500 added 14.35 points or 0.54 percent to 2,690.16.
The initial strength on Wall Street partly reflected optimism about the outlook for Republican tax reform, which would cut corporate and individual tax rates. The House is scheduled to vote on the bill later today, with a vote in the Senate expected to follow soon thereafter.
In economic news, the National Association of Home Builders noted an unexpected improvement in homebuilder confidence in December.
Energy stocks saw considerable strength despite a decline in the price of crude oil as the U.S. dollar strengthened. Crude oil for January delivery edged down $0.14 to $57.16 a barrel.
by RTT Staff Writer
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