Hong Kong stocks fluctuated in morning trade as China’s central bank injected more long-term liquidity into the financial system for the sixth month in an attempt to lift economic growth.
The Hang Seng Index added 0.2 per cent to 19,658.09 as of 10.13am local time. The Tech Index was little changed and the Shanghai Composite Index lost 0.1 per cent.
Tencent Holdings jumped 2.4 per cent to HK$336 and Meituan added 2 per cent to HK$134.40. Electric-vehicle maker BYD added 0.7 per cent to HK$244.80, while its peer Geely Auto gained 1.1 per cent to HK$9.88.
Limiting gains, JD.com fell 3.8 per cent to HK$139.30, while Alibaba trimmed 0.1 per cent to H$84.55 and Baidu lost 0.5 per cent to HK$118.50.
China’s central bank kept its medium-term lending interest rate at 2.75 per cent for the ninth straight month, in line with market expectations, as Beijing remains cautious about market conditions.
Meanwhile, the People’s Bank of China offered 125 billion yuan (US$18 billion) of medium-term lending facility, 25 billion more than the amount maturing in May. China reported plunging imports in April amid increasing signs of weaker demand and softer consumer inflation.
Other major Asian markets were mixed. Japan’s Nikkei 225 climbed 0.5 per cent and Australia’s S&P/ASX 200 fell 0.2 per cent, while South Korea’s Kospi retreated 0.3 per cent.
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