From South China Morning Post: 2024-05-10 00:21:58

Hong Kong stocks hit eight-month highs on optimism of China’s economic recovery and potential US interest-rate cut. Hang Seng Index up 1.7% at 18,859.60, highest since August. Hang Seng Tech Index down 0.3%, Shanghai Composite Index down 0.2%. HKEX surged 6.8% after surge in listing applications. Semiconductor Manufacturing up 2% after strong revenue growth.

China’s recovery gaining pace with Hangzhou and Xian lifting home purchase restrictions, exceeding import/export projections. Chinese stocks re-rating expected with corporate earnings improving. Hang Seng Index up over 6% in April due to support from mainland China’s securities regulator. China Construction Bank, ICBC, China Resources Power all up significantly.

Speculations that the dividend tax on stocks for mainland investors via exchange link with Hong Kong may be waived to boost market sentiment. Markets in Asia rise on US jobless claims surpassing estimates, indicating a slowing job market that could lead to a Fed interest-rate cut. Nikkei 225 up 0.6%, Kospi and S&P/ASX 200 each up 0.5%.



Read more at South China Morning Post: Hong Kong stocks rise to 8-month highs after China property relief, high dividend-yielding stocks in focus