From Bloomberg:
Top Business/World News
Mon, 2 Feb 1998, 12:47am EST
Hong Kong Stocks Surge 7.4% as Trade Resumes After Holiday
Hong Kong stocks surged as trading resumed after a five- and-a-half day break for the Chinese Lunar New Year holiday. Rallies in other Asian stock markets on Friday fueled optimism that investors are returning to the region, traders said. The 33-stock Hang Seng Index rose as much as 692.76, or 7.4 percent, to 9,945.12. HSBC Holdings Plc -- the largest capitalized stock in the index -- paced the gains, rising as much as 10.8 percent. ''The present market level has already discounted a lot of pain and hardship in Asia,'' said Peter Ip, strategist for CEF.TAL Investment Management Ltd., which manages about US$650 million in the region. ''We're seeing a lot of things happening in general that's boosting confidence.''
Optimism
Singapore stocks surged, led by banking stocks, as investor confidence received a boost from efforts by governments in the region to reform local financial industries. ''Investor sentiment has been restored because the regional governments are acting to resolve their banking sector problems,'' said Joel Lam, corporate strategy manager at Lee & Co., a local brokerage. The benchmark Straits Times rose 96.50 points, or 7.66 percent, to 1,356.42, its biggest percentage gain since Jan. 13. The DBS50 Index, which includes banks and property stocks, rose 33.79 points, or 8.10 percent, to 451.05. |
