Hong Kong Stocks Advance From Four-Month Low
Esprit Holdings Ltd. (330), a clothier that counts Europe as its biggest market, climbed 3 percent, leading gains as concern eased that a tax on bank deposits in Cyprus will spark broader financial panic. Jiangxi Copper Co., China’s biggest producer of the metal, added 2 percent as copper futures gained. Samsonite International SA, a luggage maker, rose 2.4 percent after reporting full-year profit increased.
The Hang Seng Index (HSI) added 0.5 percent to 22,193.73 as of 10:17 a.m. in Hong Kong, with more than three shares rising for each that fell on the 50-member gauge. The measure lost 2 percent yesterday, making it the world’s worst-performing developed market, after Cyprus proposed an unprecedented levy on bank savings to pay for a European bailout.
“Investors are not overly concerned about the potential for political contagion from the imposition of a deposit tax in Cyprus,” said Ric Spooner, chief market analyst at CMC Market, a provider of trading services in Sydney. “Investors and bank depositors appear to accept assurances that this is a one-off measure that would not be imposed on citizens of larger debtor nations elsewhere in Europe.”
The Hang Seng China Enterprises Index gained 0.8 percent to 10,882.12.
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