The world's second largest economy moved to reopen its borders to the outside world and dismantled the remnants of the Zero Covid policy, and jumped in Hong Kong's stock market as it moved to reopen its borders to the outside world.
The Hang Seng China Enterprises Index gained as much as 2.6% as traders returned from a holiday on Wednesday. Shares related to tourism and retailers rallied, with a Bloomberg gauge tracking six casino operators in Macau briefly rising more than 5%.
China is poised to emerge from years of self-imposed global isolation as the government removed quarantine requirements for inbound travelers from Jan. 8, in addition to re-issuing passports and travel permits to Hong Kong. The moves may increase Chinese shares after the nation s worsening outbreak and disruptions to economic activity cooled sentiment.
The National Immigration Administration said the government will resume express checkpoints on the borders with Hong Kong and Macau on January 8.
The Hang Seng China gauge gained 6.5% this month after a 29% rally in November. Markets in Hong Kong opened for the first time this week after a Christmas break. The CSI 300 Index declined on Wednesday on the mainland.
There was more downbeat sentiment across Asia as investors focused on the potential for higher inflation spurred by China's reopening. None Of The Federal Reserve Doesn't Care About Your Misery Whether It's Your Misery or Your Misery