Update | Hong Kong stocks at three-week high as Ping An, consumer companies advance
Hang Seng Index closes in on its 10-year high touched last month as progress made on the US tax overhaul boosts sentiment in global equities
Hong Kong stocks rose to a three-week high on Thursday, as Ping An Insurance Group and consumer companies advanced after Goldman Sachs raised its share-price estimate for a raft of firms in the industry.
The Hang Seng Index gained 0.5 per cent, or 132.97 points, to 29,367.06, the highest close since November 29. The Hang Seng China Enterprises Index, known as the H-shares gauge, added 0.8 per cent. The mainland’s benchmark reclaimed the 3,300-point level, bolstered by property developers.
Hong Kong’s equity benchmark is closing in on its decade-high of 30,003.49 touched last month, rebounding from a two-week decline, as the progress made on a tax bill in the US boosts sentiment in global equities. The Hang Seng Index has risen 33 per cent this year, and is set to become the best performer on an annual basis among the world’s major stock markets.
Ping An gained 2.8 per cent to HK$82.50 on Thursday and AIA Group rose 0.8 per cent to HK$63.10. Between them, the two insurers contributed almost half of the Hang Seng’s gains on Thursday.
Chinese consumer stocks including Want Want China Holdings extended recent gains after Goldman Sachs lifted price targets for a number of stocks earlier this week to reflect the strength of the Chinese yuan against the Hong Kong dollar.
Snack-food supplier Want Want advanced 1.3 per cent to HK$6.33, and its rival Tingyi Holding rose 1.5 per cent to HK$15.32.