Hong Kong shares rise on hopes of reopening

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Hong Kong shares rise on hopes of reopening

HONG KONG: Hong Kong shares increased by more than 3 per cent on Monday, after Shanghai authorities said that the city will gradually reopen businesses.

The Hang Seng Index increased by 3.2 per cent, or 638.56 points, to 20,588. The mainland's two indexes, the Shanghai Composite Index and the Shenzhen Composite Index, traded up, while Manila, Singapore and Seoul showed positive gains through Tuesday despite the lukewarm lead from Wall Street the day before.

On Sunday, Shanghai's vice mayor said that the city would gradually reopen businesses starting Monday.

Markets cheered about the prospect of China's economic engine reopening, as shuttered factories and stopped up ports have sent jolts across global supply chains, even though no specifics were given.

After a tumultuous few weeks, markets were roiled by fears of inflation, prolonged China lock downs to stamp out COVID 19, and Russia's war in Ukraine, and impact on crude prices.