FX.co ★ Hang Seng Ends Notably Higher

The Hang Seng Index experienced a rise of 168 points, or 0.7%, closing at 24,061 on Monday. This marked a reversal from earlier losses and represented the first gain in three sessions. The upturn was primarily driven by an increase in property stocks, following Guangzhou's announcement to relax home-buying restrictions and price controls. Additionally, consumer and financial sectors saw improvements, supported by a surge in China's consumer spending in May, largely propelled by demand during the holiday season. Optimism in the market was further enhanced by an increase in U.S. futures ahead of the Federal Reserve's interest rate announcement on Wednesday. It is broadly anticipated that the Fed will maintain the current interest rates for the fourth consecutive meeting. However, escalating tensions in the Middle East and rising oil prices could potentially hinder short-term prospects for rate easing. On a local front, the Hong Kong stock exchange is making moves to attract secondary listings from Southeast Asian and Middle Eastern companies. Within the property sector, Guangzhou R&F Properties saw a significant increase of 3.1% due to stronger sales figures in May. Xiaomi Corp. (up 4.6%), China Resources Land (up 4.4%), and Kuaishou Tech (up 3.5%) also emerged as notable gainers. Conversely, Wuxi Biologics fell by 5.2% following the sale of shares by a major shareholder.