Hong Kong Stocks Skyrocket Following China’s Massive $114B Stimulus Package: Hang Seng Index Witnesses 18-Month High

Hong Kong equities experience their largest jump in a year and a half, following the announcement of a stimulus package by China. The Hang Seng Index shot up by 4.1 per cent, marking its highest increase since March 2023, subsequent to a promise from PBOC to introduce new financing methods valued at US$114 billion.

The Hang Seng Index significantly increased by 4.1 per cent, closing at 19,000.56, marking its largest rise since March 1, 2023. Except for five stocks, all others in the 82-member benchmark experienced an uptick, with financial firms and property developers spearheading the surge. Meanwhile, the Hang Seng Tech Index skyrocketed by an impressive 5.9 per cent.

On the mainland, the Shanghai Composite Index saw a rise of 4.2 per cent, while the CSI 300 Index increased by 4.3 per cent.

The value of the onshore yuan increased by 0.2 per cent in comparison to the US dollar, as the return on China's principal 10-year government bond bounced back from an all-time low, indicating a reverse in the trend of safe-haven trading.