FX.co ★ Hong Kong Stocks Trade Slightly Higher

Hong Kong's stock market experienced an uptick of 75 points, equating to a 0.3% increase, reaching 25,834 during Thursday morning trades. This rise follows a significant drop the previous day, largely driven by gains in the tech and consumer sectors that bolstered investor risk appetite. The Wall Street rally the night before provided additional support, as investors anticipated Friday's release of the Personal Consumption Expenditures (PCE) index, which is the Federal Reserve's preferred measure of inflation. Additionally, markets are factoring in a likely 25 basis point interest rate cut next week due to indications of a softer labor market. On a local scale, economists forecast that Hong Kong's Hong Kong Interbank Offered Rate (HIBOR) will remain between 2-3% in the upcoming quarters, offering a stable environment for asset markets and the wider economy. However, gains were limited due to the ongoing decline in mainland stocks for the third consecutive session, prompted by weak November Purchasing Managers' Index (PMI) data that heightened concerns about an extended property downturn and sluggish economic performance, with no new stimulus measures expected from Beijing before the end of the year. Among early standout performers were Akeso Inc. with a 3.8% increase, Trip.com at 3.1%, Xiaomi Corp. at 2.6%, and Meituan at 1.6%.