FX.co ★ Hang Seng Dips in Final Session, Ends Year with Almost 28% Gain

On the final trading day of 2025, the Hang Seng Index declined by 224 points, or 0.9%, closing at 25,630, as markets wrapped up early in anticipation of the New Year. This drop offset the previous session's gains, with downward pressure felt across all sectors, particularly within technology, consumer, and financial stocks. Despite this, the index recorded its second consecutive annual increase, advancing nearly 28% over the course of the year. This upward trend was driven by a robust initial public offering market in Hong Kong, easing trade tensions between the U.S. and China, and Beijing's commitment to fostering economic growth through strategic fiscal spending and flexible monetary policies. China Hongqiao Group stood out as the top performer in the index, soaring 179% this year on the back of strong aluminium demand, bringing its ten-year gain to over 653%. In a similar vein, SMIC saw a 117% rise over the year, bolstered by the rapid growth of the AI sector, which contributed to its decade-long increase surpassing 800%. Similarly, Pop Mart International benefited from sustained interest in its Labubu products, resulting in a 118% climb. Trading will recommence on January 2.