Hong Kong shares surged 488 points, or 1.8%, to 27,051 in Monday morning trade, rebounding from prior weakness after Wall Street’s strong upturn on Friday pushed the Dow above 50,000 for the first time. Investors looked past concerns over AI spending, focusing instead on U.S. growth prospects and potential Fed rate cuts. Adding to positive sentiment was fresh data showing Hong Kong’s forex reserves hit a three-year high in January. Gains were broad-based, led by financials, property, and tech, in line with mainland advances, though caution lingered ahead of China’s CPI and PPI data later this week and the Lunar New Year holiday starting February 15. Early standouts included China Overseas Land (3.7%), KE Holdings (3.6%), SMIC (3.3%), AIA Group (2.9%), and HKEX (2.6%). Meanwhile, Montage Technology soared 57% in its Hong Kong debut after raising HKD 7.04 billion in a share sale, underscoring strong demand for the world’s largest memory interconnect chip supplier.
