Hong Kong stocks end higher on first day of trade in 2021
** Bucking the broad strength, the Hang Seng telecommunications index declined 1.1%. ** China's three biggest telcos saw their shares drop as much as 5% in Hong Kong on Monday, the first trading session since the New York Stock Exchange (NYSE) said it would delist the firms under a plan China branded "political" and of "limited" impact.
Reuters | Hong Kong | Updated: 04-01-2021 14:35 IST | Created: 04-01-2021 14:17 IST
Hong Kong stocks tracked gains in other Asian markets to kick off the new year on an upbeat note, although the gains were capped by Sino-U.S. tensions.
** The Hang Seng index rose 0.9% to 27,472.81, its highest since Feb. 20, 2020, while the China Enterprises Index lost 0.1% to 10,722.99. ** Leading the gains, the Hang Seng materials index and the Hang Seng industrials index climbed 4.7% and 3.3%, respectively.
** Money would flow back to traditional stocks, thanks to expectations of a global economic recovery on vaccine progress, while consumer firms are expected to benefit from China's continued measures to stimulate the country's consumption, KGI Securities noted in a report. ** Activity in China's factory sector rose in December as the economy sustained its recovery to pre-pandemic levels, a business survey showed on Monday.
** Capping gains, however, was China's firm opposition to the U.S. government's move to politicize trade issues after the New York Stock Exchange began delisting three Chinese telecom firms that Washington says have military ties. ** Bucking the broad strength, the Hang Seng telecommunications index declined 1.1%.
** China's three biggest telcos saw their shares drop as much as 5% in Hong Kong on Monday, the first trading session since the New York Stock Exchange (NYSE) said it would delist the firms under a plan China branded "political" and of "limited" impact.
