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Hong Kong Stocks Rally on China Stimulus Hopes; Alibaba Advances

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Hong Kong stocks rallied Monday on expectations of additional policy support from Beijing following weaker-than-expected economic data.

The Hang Seng Index rose 2.4%, or 580.81 points, to end at 25,143.05, while the Hang Seng China Enterprises Index climbed 3%, or 245.17 points, to finish at 8,381.90.

Investors looked ahead to the upcoming Politburo meeting, with reports suggesting policymakers may prioritize faster bond issuance and other measures to support growth after China's economy expanded 4.3% in the second quarter, below market expectations.

Sentiment was also supported by hopes that the U.S. would refrain from expanding restrictions affecting Hong Kong's trade privileges, easing concerns over the city's external trade outlook.

Meanwhile, investors are preparing for a busy week of tech earnings. Reports that Hong Kong Exchanges and Clearing is considering extending trading hours, including removing the midday trading break, also added to the positive market sentiment.

Among movers, Alibaba (HKG:9988) gained nearly 3% after unveiling its Qwen3.8-Max-Preview artificial intelligence model.

Carry Wealth (HKG:0643) dropped almost 6% after suspending a proposed share placement following an objection from its controlling shareholder, MARS Worldwide.

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Hong Kong Stocks Rally on China Stimulus Hopes; Alibaba Advances | FINWIRES