Hong Kong stocks opened with gains on Monday morning after China’s central bank cut the number of cash lenders must keep in reserve in a bid to support the stuttering economy.
The Hang Seng Index added 0.55 percent, or 145.03 points, to 26,717.60. However, mainland markets sank as traders returned from a week-long holiday that saw a sharp sell-off in global equities, reports BSS.
Hong Kong Stock Exchange trade lobby
The benchmark Shanghai Composite Index fell 1.88 percent, or 53.14 points, to 2,768.21, while the Shenzhen Composite Index, which tracks stocks on China’s second exchange, tumbled 2.10 percent, or 30.31 points, to 1,411.23.
The Stock Exchange of Hong Kong Limited, is Asia’s third-largest stock exchange in terms of market capitalization behind the Tokyo Stock Exchange and Shanghai Stock Exchange, and the sixth largest in the world before Euronext. As of 31 October 2016, SEHK had 1,955 listed companies, 989 of which are from mainland China, 856 from Hong Kong and 110 from other countries and region.