Hong Kong Market rises as Taiwan tension subsides

4 Aug 2022 , 05:33 PM

Hong Kong share market finished session modestly higher on Thursday, 04 August 2022, as investor sentiment improved on tracking positive cues from Wall Street overnight and signs that infrastructure investment is gathering pace. Meanwhile, receding tensions over the Taiwan situation also lifted sentiments. At closing bell, the benchmark Hang Seng Index surged by 406.95 points, or 2.06%, to 20,174.04. The Hang Seng China Enterprises Index spurted 142.73 points, or 2.12%, to 6,879.69. Investors in Hong Kong took cues from a buying spree on Wall Street after data showed a surprise improvement in the US services sector in July, alleviating recession concerns in the worlds largest economy. Markets were relieved that US House of Representatives Speaker Nancy Pelosis visit to Taiwan didnt trigger direct military conflict, although Sino-US tensions linger over the self-ruled island that China claimed its own. Investors focus now shifted to signs infrastructure investment is gathering pace as Beijing seeks to revive its economy. As per reports, total 3,876 major projects started construction in July 2022, involving total investment of 2.4 trillion yuan ($355.33 billion). Separate reports stated that Chinas State Grid plans to invest more than 150 billion yuan in ultra high voltage (UHV) power transmission lines in second half. Powered by Capital Market – Live News