FX.co ★ Hang Seng Pares Gains at Finish

The Hang Seng Index increased by 169 points, equating to a 0.7% rise, closing at 26,028 on Tuesday. This marks the second consecutive session of gains, with most sectors experiencing an upward trend. The market's positive sentiment was fueled by indications of easing trade tensions between the U.S. and China, in anticipation of President Trump's scheduled meeting with China's top leader, Xi Jinping, during an economic conference in South Korea next week. Additional confidence was spurred by the prospect of the Federal Reserve possibly lowering interest rates in its next two meetings, along with White House adviser Kevin Hassett’s comments suggesting that the U.S. government shutdown could conclude this week. In China, sluggish Q3 GDP figures raised expectations for new economic stimulus measures, as policymakers convene to plan the new 5-Year Plan ahead of the December Politburo meeting. Despite this, gains were somewhat restrained later in the session due to caution before the release of crucial U.S. inflation data in the coming days, and a rise in Hong Kong's unemployment rate to 3.9% for July–September 2025, up from 3.7%. CATL's stock increased by 2.6% following strong earnings, while XPeng rose by 3.8%, Geely Auto by 3.2%, and SMIC experienced a 2.7% uptick.