Hong Kong Stock Index Heads for Best Winning Streak This CenturyBloomberg News
Hong Kong’s Hang Seng Index is in line for an 11th straight gain, which would be its best run since 1999, as it climbs toward a record high.
The gauge has risen 6.1 percent from the start of this streak on Dec. 21, led by property developers and energy producers, and is 2 percent shy of the record level reached in 2007. Country Garden Holdings Co., the top performer over the past 12 months, has soared 37 percent, followed by China Overseas Land & Investment Co. and Wharf Holdings Ltd., both up more than 20 percent.
Confidence in the city’s shares has lifted bourse operator Hong Kong Exchanges & Clearing Ltd. 16 percent during the latest rally to its highest in more than two years. Index heavyweight Tencent Holdings Ltd. has added 12 percent, while China Shenhua Energy Co. and China Petroleum & Chemical Corp. have jumped at least 11 percent.
The run may be losing steam, however, at least according to one technical indicator. The Hang Seng Index’s 14-day relative-strength index has climbed to 76, the highest since August, and above the 70 level some traders regard as an overbought signal.
— With assistance by Philip Glamann