Hong Kong stocks posted for a huge rally for two consecutive days on Tuesday by surging 462.92 points, or 3.44 percent, to close at 13,910.34, boosted by the prices upsurge of Wall Street overnight.
The benchmark Hang Seng Index advanced 325.75 points, or 2.42 percent, to open at 13,773.17 and softened to the day's lowest 13,538.16 in the morning session.
Market sentiment turned optimistic in Hong Kong after the U.S. Treasury unveiled its plan to help troubled banks deal with their toxic assets, sending the index up by as much as 505.56 points, or 3.76 percent, to the day's highest 13,952.98 before closing.
Turnover soared to 63.87 billion HK dollars (billion U.S. dollars) from Monday's 55.31 billion HK dollars (7.14 billion U.S. dollars).
Trading of market heavyweight HSBC remained very active with heavy turnover. HSBC, which accounts for the largest weighting of the benchmark Hang Seng Index, surged 9.83 percent to 45.8 HK dollars with a turnover of 48.13 billion HK dollars (6.22 billion U.S. dollars), lifting the index by 218.19 points alone.
HSBC's offering rights rocketed 32.27 percent to HK dollars to close at 17.46 HK dollars, compared with its offering price of 28 HK dollars.
Another market heavyweight China Mobile, the market's largest stock by capitalization and the country's largest mobile phone operator, rose 1.59 percent to 67.25 HK dollars.
Chinese banks and insurers extended their gains on Tuesday after posting huge rallies Monday. ICBC, China 's largest lender, added 0.57 percent to 3.54 HK dollars. Bank of China rallied 2.15 percent to 2.38 HK dollars ahead of its annual reports after market was closed. China Construction Bank gained 1.57 percent to 4.52 HK dollars. Bank of Communications jumped 4.04 percent to 5.41 HK dollars. China Merchants Bank leaped 3.64 percent to 13.68 HK dollars.
China Life, the country's largest insurer, moved up 0.59 percent to 25.8 HK dollars. Ping An, China's second largest insurance company behind China Life, rose 4.44 percent to 49.35 HK dollars.
Local banks in Hong Kong were all higher. BOC Hong Kong, a banknote issuer in Hong Kong, jumped 6.57 percent to 8.27 HK dollars. Standard Chartered Bank, another note-issuing bank, advanced 4.7 percent to 107 HK dollars. Hang Seng Bank, a major local bank controlled by HSBC, rallied 4.94 percent to 82.9 HK dollars. Bank of East Asia rose 6.97 percent to 15.66 HK dollars.
The Hong Kong Exchanges and Clearing Ltd., the market's sole operator, rose 7.32 percent to 74 HK dollars. The market operator scraped the 10-minute closing auction session on Monday on criticism of its fragility to price manipulation.
Hong Kong's property companies were all stronger. Sung Hung Kai Property, the city's largest developer, increased 5.39 percent to 72.4 HK dollars. Cheung Kong, one of the largest property companies controlled by tycoon Li Ka-shing, increased 3.81 percent to 70.9 HK dollars. Henderson Land rallied 4.21 percent to 29.7 HK dollars. Sino Land surged 8.22 percent to 7.9 HK dollars. Hang Lung Property shot up 8.44 percent to 18.5 HK dollars. New World Development moved up 1.62 percent to 8.18 HK dollars.
China Enterprise Index, which reflects the performance of 42 major companies registered in the Chinese mainland, rose 103.38 points, or 1.3 percent, to close at 8,063.29.
China's energy companies were higher though oil prices eased slightly in Asian trade Tuesday after hitting four-month high around 54 U.S. dollars a barrel. PetroChina, the country's largest oil producer, added 0.93 percent to 6.49 HK dollars. Sinopec, the country's largest refiner, gained 1.85 percent to 4.4 HK dollars. CNOOC, China's largest offshore oil producer, advanced 4.35 percent to 8.39 HK dollars. (7.742 HK dollars =1 U.S. dollar)
(Xinhua News Agency March 25, 2009)
