(RTTNews) – The Hong Kong stock market bounced higher again on Monday, one session after it had snapped the two-day winning streak in which it had gathered more than 185 points or 0.8 percent. The Hang Seng Index now sits just above the 24,280-point plateau and it may add to its winnings on Tuesday.
The global forecast for the Asian markets is upbeat on stimulus expectations and hopes that the U.S. economy will soon be re-opened. The European and U.S. markets were up and the Asian bourses are tipped to open in similar fashion.
The Hang Seng finished sharply higher on Monday following gains from the financials, properties, casinos and oil and insurance companies.
For the day, the index spiked 448.81 points or 1.88 percent to finish at 24,280.14 after trading between 24,030.54 and 24,318.81.
Among the actives, CITIC surged 5.00 percent, while New World Development soared 3.20 percent, China Mobile spiked 2.62 percent, Sands China accelerated 2.58 percent, China Life Insurance and Sun Hung Kai Properties both jumped 2.53 percent, Industrial and Commercial Bank of China collected 2.37 percent, China Resources Land climbed 2.11 percent, AIA Group gathered 2.01 percent, Hong Kong & China Gas perked 1.75 percent, WH Group advanced 1.71 percent, Tencent Holdings added 1.62 percent, China Petroleum and Chemical (Sinopec) gained 1.34 percent, Galaxy Entertainment rose 1.32 percent, AAC Technologies skidded 1.20 percent, CSPC Pharmaceutical dropped 1.16 percent, Ping An Insurance increased 0.97 percent and CNOOC was up 0.24 percent.
The lead from Wall Street is broadly positive as stocks moved sharply higher on Monday, extending gains from the previous session.
The Dow added 358.51 points or 1.51 percent to end at 24,133.78, while the NASDAQ gained 95.64 points or 1.11 percent to 8,730.16 and the S&P 500 rose 41.74 points or 1.47 percent to 2,878.48.
The strength on Wall Street came after New York Governor Andrew Cuomo announced plans for a phased reopening of his state’s economy. Cuomo suggested the first phase, which involves low risk businesses in the manufacturing and construction sectors, could begin shortly after New York’s stay-at-home order expires on May 15.
Buying interest was also generated amid optimism about additional stimulus ahead of Federal Reserve and European Central Bank meetings later this week.
Crude oil prices tanked on Monday amid mounting fears that production cuts might not be enough to counter the huge fall in demand amid the coronavirus pandemic. West Texas Intermediate Crude oil futures for June ended down $4.16 or 24.6 percent at $12.78 a barrel.