FX.co ★ Hang Seng Closes 0.7% Higher

The Hang Seng index increased by 174 points, or 0.7%, finishing at 26,033 on Monday, bouncing back from a decline in the previous session. This upward movement was bolstered by continuous optimism regarding potential U.S. interest rate cuts. Additionally, investor sentiment improved due to weak November PMI readings in China, which sparked hopes for new support measures. Official reports indicated a decline in manufacturing for the eighth consecutive month in November, while a private survey suggested a slight setback. Chinese stocks rose for the third consecutive session, propelled by enthusiasm surrounding AI developments. However, strong market momentum in Hong Kong was restrained by a significant drop in U.S. futures, preceding key data releases this week and the upcoming Federal Reserve meeting. The property sector led the gains, increasing by approximately 1%, with Sun Hung Kai Properties advancing by 1.9%, China Resources Land by 0.9%, and Henderson Land by 0.8%. ZTE soared by 10% after securing 5G contracts in Vietnam, indicating strengthening relations between Beijing and Hanoi. Conversely, Meituan declined by about 3% following its first quarterly loss since late 2022, driven by intense price competition.