Advertisement
Hong Kong stock market
BusinessMarkets

Country Garden, Longfor boost Hang Seng Index as market gains on China’s stimulus measures

  • Hong Kong stocks strengthen as they build on the biggest gain in over eight months last Friday
  • Chinese property developers surge following the central bank’s 16-point plan to boost the sector

Reading Time:2 minutes
Why you can trust SCMP
An electronic billboard displays the Hang Seng Index figures outside the HKEX in Central. Photo: Yik Yeung-man
Jiaxing Li
Hong Kong stocks jumped, extending the biggest gain in over eight months last Friday, as Beijing continues to roll out more stimulus measures to bolster the property sector and the Covid-hit economy.
Advertisement

The Hang Seng Index ended 1.7 per cent higher at 17,619.71 on Monday, while the Hang Seng Tech Index jumped 1.8 per cent and the Shanghai Composite Index retreated 0.1 per cent. The Hang Seng China Enterprises Index jumped 1.9 per cent, taking its gains to over 20 per cent from an October low and into bull-market territory.

Property developers Country Garden surged 45.5 per cent to HK$3.26, Longfor soared 16.5 per cent to HK$21.20, while China Overseas Land jumped 8.9 per cent to HK$20.05. Tencent added 0.9 per cent to HK$260.60 and JD.com advanced 4.3 per cent to HK$200.80.

The benchmark in Hong Kong surged 7.2 per cent last week, contributing to a US$245 billion rebound in value of the broader market. The CSI 300 Index of the largest A-share companies gained US$123 billion in value last week.

China’s central bank issued a 16-point plan to boost the property sector on Friday, with measures ranging from addressing developers’ liquidity crisis to loosening down-payment requirements for homebuyers. The move came right after the National Health Commission announced 20 measures, including slashing the quarantine period, to reduce the economic and social impact of containing Covid.
Advertisement
loading
Advertisement