Shares of property developers rallied yesterday following enthusiastic buyer response to their recent launches.
Investor interest in property stocks had returned as concerns over the city's market outlook began to ease, analysts said.
'The market was worried that Chief Executive Leung Chun-ying would introduce tough measures to rein in the property market,' Convoy Investment Services and Convoy Asset Management director Michael Wong Man-sek said.
On Monday, Leung refrained from announcing any additional measures to cool the property market while handing out HK$7.35 billion worth of sweeteners.
Cheung Kong (Holdings) climbed 4.2 per cent to HK$100.80 after the company reported encouraging property sales. Sun Hung Kai Properties rose 1.5 per cent to HK$95.95, while New World Development gained 2 per cent to HK$9.88 as the company said it had set a sales target of crossing HK$10 billion this year. Sino Land added 3.5 per cent to HK$12.96. The Hang Seng Index ended the day up 1.75 per cent.
Kenny Tang Sing-hing, general manager of AMTD Financial Planning, said the benchmark index rose largely on the back of mainland banks and Hong Kong developers.