The Hang Seng Index jumped 346 points, or 1.8%, to close at 19,220 on Tuesday, snapping a six-session losing streak.
Hang Seng soars near 2% at close
The rally followed remarks from China’s top securities regulator, who announced plans to collaborate with the PBoC to expand policy tools, enabling institutional investors to access central bank funding for stock purchases. Additionally, the PBoC signaled it would allocate more forex reserves to assets in Hong Kong. On the economic front, new yuan loans surged in December, recovering from their lowest levels since 2012 in November. Meanwhile, US futures rose sharply on hopes that the Federal Reserve will hold interest rates steady later this month.
Eyes on Trump's tariffs
Separately, Donald Trump’s incoming economic team is reportedly considering a gradual implementation of tariff increases. However, gains were tempered by investor caution ahead of key data releases, including China’s Q4 GDP and December industrial output and retail sales figures. Broad-based gains were led by Meituan (5.1%), Kuaishou Technology (4.9%), BYD Electronic International (3.6%), and Xiaomi Corporation (2.9%).
