Hong Kong Stocks Advance on U.S. Data; Developers Rebound
Hong Kong stocks rose a second day after the U.S. services industry expanded at the fastest pace in a year and as property developers rebounded after a rout triggered by policy curbs in mainland China.
China Overseas Land & Investment Ltd. (688), the biggest Chinese real-estate company traded in Hong Kong, climbed 2.1 percent after developers sank this week on China’s tighter mortgage rules. Li & Fung Ltd. (494), a supplier of toys and clothes to retailers including Wal-Mart Stores Inc., rose 1.2 percent. Tencent Holdings Ltd. (700), China’s largest Internet company, gained 2 percent after being added to the FTSE China 25 Index.
The Hang Seng Index (HSI) rose 0.6 percent to 22,696.15 as of 9:57 a.m. in Hong Kong. About four stocks advanced for each that declined in the 50-member gauge. The Hang Seng China Enterprises Index of mainland companies climbed 1.2 percent to 11,303.55.
Hang Seng Index futures rose 0.9 percent to 22,614. The HSI Volatility Index (VHSI) slid 2.3 percent to 15.78, indicating traders expect a swing of 4.5 percent for the equity benchmark in the next 30 days.
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