Market Review: Hong Kong Stocks End Week Up Despite China Data Drag
The Hang Seng Index (HSI) surged as much as 2.6% on Aug 13, its strongest daily advance in three months, climbing to a two-week high of around 25,614. The rally was fuelled by softer US inflation data, which boosted expectations for a Federal Reserve rate cut, as well as renewed optimism following an extension of the US-China trade truce. Tech heavyweights including Tencent and Alibaba led the charge, while property stocks gained on Beijing's latest stimulus measures.
The momentum carried into Aug 14, with the index holding near recent highs. But sentiment turned on Aug 15 after a batch of disappointing data from mainland China showed slowing industrial output, weak retail sales and softer fixed asset investment. The HSI slipped 1.0% to close at 25,270, as investors pared positions ahead of the weekend.
Despite the pullback, the benchmark ended the week up around 1.65%, supported by early strength and sustained policy optimism.
Analysts said the index remained resilient above the key 25,000 level, though its short-term direction would depend on whether Beijing follows through with further economic support.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
The Star
an hour ago
- The Star
Chinese-built Ethiopian Airlines headquarters building tops out
ADDIS ABABA, Aug. 18 (Xinhua) -- The new Ethiopian Airlines Group headquarters building, which is under construction in Addis Ababa, the East African country's capital, has topped out, marking completion of its main structural works. The topping-out ceremony of the 45-meter-high structure was held on Monday, attended by representatives from the Ethiopian Airlines Group and China Civil Engineering Construction Corporation (CCECC). Mesfin Tasew, chief executive officer (CEO) of Ethiopian Airlines Group, expressed confidence that the project will be completed on schedule, meeting the long-awaited desire of the airline. "We want this headquarters to be completed as soon as possible. It is our expectation that this headquarters will be completed with the highest level of quality," said Tasew. Built by the CCECC on a total land area of over 33,560 square meters, the project consists of six different buildings with multiple facilities, including commercial, corporate, and customer services. Noting that Chinese construction companies have successfully accomplished different projects for the airline, Tasew expressed confidence in the CCECC to deliver the project to the airline's satisfaction. "Our decision to engage with CCECC shows our trust and confidence in the company to construct and deliver state-of-the-art facilities," the CEO reiterated. Chen Sichang, general manager of CCECC, vowed to deliver the project on time and with top quality. "Now, the main structure has been completed, our commitment to engineering excellence does not stop here. We pledge to our client and all stakeholders that we will continue to uphold our corporate motto of diligence, integrity, and perseverance," Chen said. Launched on Aug. 30, 2023, the Ethiopian Airlines Group headquarters building project is set to be completed in August 2026. Recently, Ethiopian Airlines, the flagship carrier of Ethiopia, has launched the construction of a new mega airport near Bishoftu town, about 42 km east of Addis Ababa. During the topping-out ceremony, the CEO invited CCECC to participate in the construction of the new mega airport.
New Straits Times
2 hours ago
- New Straits Times
Hong Kong arrests two over suspected US$6.7mil water scam
HONG KONG: Hong Kong police said Monday they had arrested two people over a suspected scam involving a water supplier that may have cheated the government in a contract worth nearly US$7 million. A company named Xin Ding Xin won a deal in June to provide 1.88 million bottles of water for dispensers in some government offices – the first time such a contract went to a Chinese brand, according to local media. But police said the firm was found to have relied on false documents during the tender process, claiming to source its water from another mainland Chinese supplier when in fact they had no business ties. Officers arrested a 61-year-old man and a 57-year-old woman for fraud on Sunday, seizing around 2,600 bottles of water in a warehouse along with documents and electronic devices. The arrests have prompted water-cooler discussions across the Chinese finance hub on how bureaucrats missed the tell-tale signs of a scam when awarding a 36-month contract worth HK$52.9 million (US$6.77 million). Payment for the delivered batches has not yet been settled, according to police. The Government Logistics Department said on Monday that it had terminated its bottled water supply contract with Xin Ding Xin, as well as "three other contracts for the supply of chemicals which were affiliated with XDX's owner." Christopher Hui, Hong Kong's Secretary for Financial Services and the Treasury, set up a dedicated task force following an urgent meeting on Sunday. Hui also ordered "remedial actions" and invited the Audit Commission to review the tender exercise. "The incident has raised concerns among government colleagues and drawn extensive attention from the public," he said in a press release. Aside from the two arrests on Sunday, one mainland Chinese man remains at large, police said.
New Straits Times
3 hours ago
- New Straits Times
Bursa CEO: Malaysia's capital market resilient, poised for growth
KUALA LUMPUR: Malaysia's capital market remains resilient and well-positioned for growth, Bursa Malaysia chief executive officer Datuk Fad'l Mohamed said. This is supported by strong fundamentals, proactive policies and rising opportunities in strategic sectors. "The strong momentum of initial public offerings (IPOs) reflects the confidence of Malaysian businesses, as they expand and tap the capital market to power their next phase of growth," he said on the sidelines of Invest Malaysia 2025 series (IM 2025) in Singapore today. As at Aug 1 this year, Bursa Malaysia had 39 IPOs listed, a 39 per cent increase year-on-year compared to the same period in 2024, said Fad'l. It maintained lead position in the Asean region for total number of IPO listings, and total IPOs funds raised," Fad'l said. "This demonstrates a thriving market where companies are growing, creating value and offering opportunities for investment. "As a multi-asset exchange, Bursa Malaysia remains committed to enhancing the vibrancy and depth of our markets, to support Malaysia's economic momentum and propel its competitiveness globally," he added. Investment, Trade and Industry Minister Datuk Seri Tengku Zafrul Abdul Aziz, in his keynote address highlighted that shifting global trade dynamics are reshaping supply chains. This suggests that open economies such as Malaysia and Asean need to be responsive and build resilience. He outlined Malaysia's priorities as Asean chair to strengthen regional resilience and position the region as an investible asset class, while calling for deeper regional economic integration to safeguard the region's growth trajectory in an increasingly fragmented global economy. Tengku Zafrul continued his insights in a fireside chat moderated by Fad'l where the conversation turned to how Asean and Malaysia can navigate external shocks from US-China tariff tensions. He elaborated that there is potential for the region to turn these disruptions into opportunities to position itself as a base for global manufacturers seeking stability and resilience. Malaysia, in particular, has strengthened its edge against regional peers This is supported by disciplined industrial and economic reforms, the development of high-tech hubs in Penang and Kedah, as well as special economic zones aimed at attracting strategic investments in electrical & electronics, EVs, and advanced manufacturing. Tengku Zafrul added that the current period of volatility could serve as a springboard for Malaysia to accelerate its move into higher-value sectors, with the New Industrial Master Plan 2030 (NIMP 2030) providing the long-term policy certainty, targeted incentives, and "safe harbour" measures needed to secure investor confidence. IM 2025 in Singapore is Bursa Malaysia's flagship programme in collaboration with the Macquarie Asean Conference 2025. Since its inception in 2005, Invest Malaysia has expanded its reach globally with 61 Invest Malaysia Away editions hosted in major financial centres worldwide. In 2025 alone, the series made its mark in London (January), followed by the Invest Asean-Malaysia here in June, each reinforcing Malaysia's position as a vibrant and attractive investment destination.
