Jiaxing li
HONG KONG (Reuters) – China’s technology stocks listed in Hong Kong advanced on Friday for their best weekly winning streak since 2020.
The Hang Seng Tech Index closed at 6.5%, earning the highest daily profit since October, reaching its highest in three years.
This has led to weekly profits of over 6% on six consecutive weeks of progress, the longest winning streak since May 2020.
Hong Kong’s benchmark Hangsen index rose 4% to three years high.
Alibaba has surged to 14.6% since the second half of 2021 after the Chinese e-commerce giant reported better revenue than expected and said it plans to invest more in e-commerce and AI.
Lenovo moved forward over 15% to nearly a decade after quarterly results destroyed estimates, while Xiaomi added 5.2%, reaching a record high.
China’s high-tech stocks have rekindled global investors’ profits in China since the launch of its low-cost AI model Deepseek last month, and have driven funds into the sector for a relatively low-cost valuation It’s flowing.
Investors can bet President Xi Jinping’s unusual meeting with the country’s biggest business leaders, including Alibaba founder Jack Ma – has made a U-turn in policy after years of crackdown on the sector It can signal and provide additional fuel to the assembly.
“We need to narrow down further by taking advantage of valuation discounts to emerging markets,” HSBC analyst said in a memo, citing the return of foreign investment inflows over the past two weeks.
Also, land shares rose on Friday, with the Bluechip CSI 300 index adding 1.3% and the Shanghai Composite Index gaining 0.9%. Both benchmarks have been at their highest levels since late December.
China’s high-tech rally will help add more than $1.3 trillion to the country’s land and offshore stock markets in just one month, with investment flowing from India and China, and federation Hermes emerging markets Investment Director James Cook said, Chinese companies added that after missing out, they’re quickly catching up to the global AI Frenzy.
(Reporting by Jiaxing Li from Hong Kong, edited by Sonali Paul and Janane Venkatraman)
