Hong Kong stocks surge after Lunar New Year holiday, sports brands shine

HONG KONG, Feb 4 (Reuters) – Hong Kong shares jumped on Friday and were set for their best session in two weeks, as markets resumed trade after a three-day Lunar New Year holiday and played catch-up with a rally on Wall Street.

** By lunch break, the Hang Seng index (.HSI) was up 645.05 points, or 2.71%, at 24,447.31. The Hang Seng China Enterprises index (.HSCE) rose 2.22% to 8,535.71. China markets are closed for the week and will resume trade on Monday.

** “Hong Kong stocks were tracking overall gains in the U.S. markets during the Lunar New Year holidays, while the Beijing Winter Olympics gives a stimulus to shares, particularly China’s sports brands,” said Linus Yip, chief strategist at First Shanghai Securities.

** Shares of Chinese home-grown sports brand ANTA Sports (2020.HK) rose 5.2% to HK$122.60 while those of smaller rival Li Ning (2331.HK) jumped 6.6% to HK$80.35 as the Beijing Winter Olympics officially opens on Friday.

** Hong Kong shares of HSBC and Standard Chartered jump to two-year highs after the Bank of England (BoE) hikes interest rates to fight inflation.

** The sub-index of the Hang Seng tracking energy shares (.HSCIE) rose 2.3%, while the IT sector (.HSCIIT) added 2.1%, the financial sector (.HSNF) gained 3.19% and the property sector rose 1.82%.

** The top gainer on the Hang Seng was Haidilao International Holding Ltd (6862.HK), which advanced 6.67%, while the biggest loser was WH Group Ltd (0288.HK), which fell 1.54%.

** Around the region, MSCI’s Asia ex-Japan stock index (.MIAPJ0000PUS) was firmer by 0.89%, while Japan’s Nikkei index (.N225) was up 0.43%.

** The three biggest H-shares percentage decliners were Innovent Biologics Inc (1801.HK), which was down 5.05%, Longfor Group Holdings Ltd (0960.HK), which fell 0.54%, and ENN Energy Holdings Ltd (2688.HK), down by 0.4%.

Reporting by Donny Kwok; Editing by Subhranshu Sahu

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