FX.co ★ Hong Kong Shares Extend Gains to Start the Week

Hong Kong stocks experienced an uptick of 73 points, or 0.3%, reaching 26,303 during Monday's morning session. This rise marks the second consecutive session of gains, driven primarily by tech and consumer stocks. Contributing to the optimistic sentiment was the performance of the Shanghai Composite, which was nearing decade-high levels due to positive expectations in the AI sector and alleviating deflationary pressures in China. Additionally, there is growing confidence in Beijing's ability to balance domestic demand and supply to support earnings. However, further gains were limited by a significant decline in U.S. futures, following the Department of Justice's initiation of a criminal investigation into Federal Reserve Chair Jerome Powell, intensifying the pressure from President Trump on the central bank. Investors also exercised caution ahead of significant Chinese economic data releases this week, including December's trade and credit figures, as well as fourth-quarter GDP. Among the early notable performers were Meituan, rising 4.0%, Kuaishou Tech with a 3.2% increase, Swire Properties up 2.3%, and Techtronic Industries advancing by 2.0%.