Hong Kong stocks extend longest winning streak since 1999 on Tencent and Chinese insurers
Shares of internet giant Tencent Holdings hit an all-time high of HK$443.80
Hong Kong stocks advanced on Tuesday, breaking the 31,000 level on gains from Tencent Holdings and Chinese insurers.
The Hang Seng Index rose 0.4 per cent, or 111.88 points, to 31,011.41, marking the 11th straight day of gains in its best run since 1999. It is just shy of the record high hit in October 2007. The Hang Seng China Enterprises Index gained 0.2 per cent, or 20.49 points, to 12,255.68.
“Market sentiment has been very strong since the start of 2018,” said Stanley Chan, director of research at Emperor Securities. “I think investors believe global economic growth remains solid and the capital money flow is also positive, so the overall market sentiment I think will remain strong in the short term.
“In the long term it depends on earnings growth, US monetary policy and the impact of the tax reform.”
Chinese insurers rebounded on Tuesday after lagging other sectors so far this year. Premium growth is expected to remain strong and investment return good in 2018, added Chan.
Ping An Insurance climbed 2.5 per cent to HK$84.30 and China Life Insurance added 0.6 per cent to HK$24.50.
Bourse operator Hong Kong Exchanges and Clearing rallied 2.7 per cent to HK$269.