Hong Kong stocks complete sixth week of gains on upbeat China outlook
Jiangsu Hengrui’s strong Hong Kong debut boosts Chinese pharmaceutical stocks
The Hang Seng Index closed 0.2 per cent higher at 23,601.26. The benchmark added 1.1 per cent this week, the longest winning stretch in three months. The Hang Seng Tech Index slipped 0.1 per cent. On the mainland, the CSI 300 Index dropped 0.8 per cent and the Shanghai Composite Index finished 0.9 per cent lower.
“Recent economic data showed that external demand remains strong and domestic demand is recovering but mildly,” said Wang Jun, an analyst at BOC International. “The risk of downside to economic growth is low, as China has plenty of room for policy measures. But a further breakout of the market depends on the strength of the economic recovery.”
Investors brushed aside Moody’s downgrade of the US government’s credit rating this week to focus on the implications of the 90-day tariff truce between the US and China, and the first set of post-tariff data from the Asian nation. The mixed data showed that industrial production and exports remained resilient despite the US levies of as much as 145 per cent, while retail sales and fixed-asset investments lagged.