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Source: Newsmaker.id
The Hang Seng Index rose 0.6%, or approximately 150 points, to reach the 25,459 level during Thursday's trading (September 3). The Hong Kong market followed the upward trend seen across Asian markets as pressure from global bond markets began to subside.
The halt in the bond sell-off helped alleviate concerns regarding a potential tightening of financial conditions. Interest-rate-sensitive stocks regained investor support.
Sentiment also improved after ADP data revealed weaker-than-expected private-sector job growth in the US. Comments from New York Fed President John Williams were also seen as tempering expectations for a near-term interest rate hike.
US President Donald Trump stated that any potential new strike against Iran would likely be short-lived. This statement helped ease fears of a prolonged conflict, while a drop in oil prices provided relief regarding inflation risks and energy costs.
Technology and financial stocks were the market's main pillars of support. Tencent rose 0.4%, Lenovo gained 1.1%, MiniMax added 1%, AIA surged 1.8%, and Akeso led the gains with a 3% rise.
However, Shein shares remained under pressure after plunging more than 5% to HK$46 during Wednesday's trading. That decline occurred on the company's second day of trading on the Hong Kong Exchange, following an underwhelming debut.
According to Newsmaker's analysis, the Hang Seng has the potential to continue its recovery if global yields and oil prices remain on a downward trend. However, strong US Nonfarm Payrolls data could reignite expectations for interest rate hikes, drive up yields, and put pressure on Hong Kong technology stocks.