The Hang Seng Index rose about 0.4%, or 87 points, to open at 23,381 on Monday, extending gains from the previous session and driven largely by technology stocks. Still, worries about a potential AI bubble in China threaten to inject fresh volatility, even as a rotation of capital out of richly valued AI names and into more traditional sectors—such as banking, insurance and consumer-related stocks—could lend additional support to the broader market.
Banking shares stayed in the spotlight after China’s major state-owned lenders posted their strongest quarterly profit growth in years, with third-quarter earnings up between 6.4% and 10.8%, helped by stabilising interest margins and lower funding costs on deposits.
Among notable movers, Tencent gained 2.4%, Xiaomi advanced 2.9%, AIA Group added 0.6% and Semiconductor Manufacturing climbed 0.9%. In contrast, Lenovo slipped 1.1%, Genscript Biotech fell 1.6% and Wuxi Biologics lost 1.3%.
On the data front, Hong Kong’s preliminary third-quarter GDP figures are scheduled for release tomorrow, providing an updated snapshot of the city’s domestic economic conditions.
