Hong Kong shares remained in positive territory for a second straight trading day, closing higher on Monday as investor sentiment continued to be optimistic amid a tech rally, anticipation for the upcoming earnings season, and hopes for US interest rate cuts.
The Hang Seng Index rose 0.8%, or 139.41 points, to 17,569.57. The Hang Seng China Enterprises Index added 1.04%, or 63.96, to finish Monday's trade at 6,225.86.
Chinese online healthcare platform JD Health International (HKG:6618) led the rally, rising 8% and maintaining its positive momentum after it reported a surge in H1 profit to over 2 billion yuan last week. Parent JD.com (HKG:9618) also closed over 8% higher on Monday.
Investors remain hopeful for the US Federal Reserve's yearly meeting in Jackson Hole, Wyoming, this week to guide the path to the much-awaited interest rate cuts next month, a South China Morning Post report said. Fears of a US recession also diminished, with US stocks closing in green on Friday after the best week to date in 2024.
Investors also await the upcoming earnings season, which will determine the direction the market takes in the days to come.
In line with the anticipation of upcoming positive growth, Hong Kong Chief Executive John Lee Ka-chiu said during the 2024 Policy Address District Forum that he expects a better GDP growth in 2025 than the current year, the Global Times reported.
Hong Kong's seasonally-adjusted May-July unemployment rate remained stagnant at 3%, the same as the April-June figure, according to the census and statistics department. Unemployed individuals reached 117,800 during the three months, up 3,100 from 114,700 in April to June.
Brokerage Holly Futures (HKG:3678, SHE:001236) rose 15% at Monday's close after its attributable profit for the first half of 2024 saw an 80% boost to 12.8 million yuan.
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