Hong Kong stocks soar ahead of expected Fed rate cut; Midea surges on debut

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Hong Kong stocks jumped as local developers rallied ahead of an expected Fed rate cut, while appliance maker Midea surged on its debut

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Outside Hong Kong’s stock exchange. Photo: Reuters

Jiaxing Li

Published: 10:35am, 17 Sep 2024Updated: 4:40pm, 17 Sep 2024

Hong Kong stocks advanced as local developers rallied ahead of an expected rate cut from the Federal Reserve, as appliance maker Midea Group surged on its trading debut.

The Hang Seng Index jumped 1.4 per cent to 17,660.02 on Tuesday, the biggest single-day gain since August 16, taking the gauge to a two-week high. The Tech Index gained 1.2 per cent. Mainland markets are closed for a holiday.

E-commerce giant Alibaba jumped 1 per cent to HK$82.85, food delivery platform Meituan rallied 1.7 per cent to HK$128.60 and electric vehicle company BYD rose 1.2 per cent to HK$242.80, leading gains among market heavyweights. Midea shares rose 7.8 per cent to HK$59.10 after climbing as much as 9.5 per cent in their trading debut.

CK Asset Holdings advanced 4.4 per cent to HK$32.15 and Henderson Land climbed 2.1 per cent to HK$24.30, leading gains among Hong Kong developers ahead of the Fed’s rate decision.

The city’s benchmark index has rallied for four consecutive trading days, the longest winning streak in a month, as traders shift focus to the prospect of lower rates and easier money from gloomy mainland economic data.