The Hang Seng gained 66 points, or 0.3%, to close at 19,286 on Wednesday, marking a second consecutive day of gains, primarily driven by financials and property stocks.
Hang Seng closes 0.3% higher
The index rebounded from a near 4-month low after China's central bank injected the second-largest amount of cash into the economy through 7-day reverse repos to meet demand ahead of the Lunar New Year. Additionally, Tuesday’s data revealed a sharp increase in new yuan loans in December, following a decline to their lowest levels since 2012 in November. However, further gains were limited by concerns over trade tensions between Beijing and Washington, as the US reportedly plans new regulations to restrict the flow of advanced chips from Taiwan Semiconductor Manufacturing Co. and other manufacturers to China.
What affected trading activity
Some traders also remained cautious ahead of key Chinese data due in the coming days, including Q4 GDP and December activity reports. Notable movers included Semicon Manufacturing (+5.4%), Techtronic Industries (+2.9%), MGM China Holdings (+2.5%), and Kingsoft Corp. (+2.0%).
