Shares in Chinese tech companies climbed the last business day following a major Wall Street gain for Chinese businesses registered in the US, though the summit was not enough to dispel the darkness after the 2021 disaster in a region characterized by lawlessness.
Hong Kong’s Hang Seng Index rose 1.2 percent on Friday, while exchange rates rose nearly 4 percent. The Chinese CSI 300 Shanghai- and Shenzhen-shares increased by 0.4 percent.
The meeting followed the strengthening of the Nasdaq Golden Dragon index of China’s largest and medium-sized companies, which jumped 9.4 percent on Thursday, with the best of a single day in more than a decade. The rise was driven by the two-digit gains of companies including the Tencent internet company, Baidu search engine, Billion video sharing platform and New Oriental Education.
Friday’s profits in Asia were also driven by some of China’s largest technology companies, with the ecommerce group Alibaba growing by 8 percent in Hong Kong and its partner JD.com growing by about 5 percent. NetEase, a gaming company, jumped about 4 percent while Meituan catering company added 3.2 percent.
Dickie Wong, chief research officer at Kingston Securities, said last year’s trial had already been purchased and that “ideas are coming back” to the Chinese market. “Internet marketing and technology are now selling at a much lower price,” he said. “It’s time for you to come back.”
Market interest came as China reported a slight increase in manufacturing activity in December despite declining supply, electricity shortages and coronavirus epidemics.
The sales manager list has risen to 50.3, from 50.1 in November, according to the National Bureau of Statistics, denigrating investigators’ expectations of reading below 50, which would indicate a decline.
Friday’s repetition was not enough to undo the losses of Hang Seng 2021. Big numbers dropped by 14 percent in 2021 and the Hang Seng Tech series lost 48 percent since its peak in February.
Alibaba share price, charged a cost $ 2.8bn due to security breaches in April, about half of Hong Kong every year, when Mayituan dropped by more than one-fifth, JD.com fell nearly one-fifth and Tencent lost more than 17 percent.
Elsewhere, European financial markets were shut down in the morning business as trade declined for a year. The Stoxx 600 regional index opened, while the UK FTSE 100 fell 0.3%. Germany’s Xetra Dax was shut down.
Yields on the US Treasury note’s 10-year benchmark were about 1.52 percent lower, and trading is expected to ease day-to-day after the Securities Industry and Financial Markets Association recommended that the market be closed early for the holidays.
Brent crude, the world’s largest oil producer, has fallen by 0.1% to $ 79.4 a barrel.
Additional reports by Naomi Rovnick in London
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