The Hong Kong stock market has moved higher in two of three trading days since the end of the seven-day slide in which it had plummeted more than 2,800 points or 10.3 percent. The Hang Seng Index settled just above the 21,830-point plateau, and the market may add to its winnings on Friday.
The global forecast for the Asian markets is broadly positive as the markets are expected to continue to claw back after the heavy selling that took place earlier this week. The European and U.S. markets were sharply higher, and the Asian bourses are expected to follow suit.
The Hang Seng finished sharply higher on Thursday with support across the board - especially among the properties, industrials and financials.
For the day, the index surged 758.15 points or 3.60 percent to finish at 21,838.54 after trading between 21,407.59 and 21, 963.43 on turnover of 122.43 billion Hong Kong dollars.
Among the actives, CKH Holdings added 3.59 percent, while HSBC collected 1.40 percent, Bank of East Asia added 2.66 percent, Wharf Holdings spiked 6.82 percent, Henderson Land jumped 5.74 percent, Sino Land perked 6.69 percent, CITIC Limited advanced 6.56 percent, Galaxy Entertainment surged 7.42 percent, CNOOC skyrocketed 14.39 percent, PetroChina gathered 4.13 percent, China Mobile climbed 4.33 percent and China Life soared 10.39 percent.
The lead from Wall Street continues to be firm as stocks surged on Thursday, extending the recovery rally that started in the previous session and further offsetting the sell-off in the past couple weeks.
The Dow surged 369.26 points or 2.3 percent to 16,654.77, while the NASDAQ jumped 115.17 points or 2.5 percent to 4,812.71 and the S&P 500 shot up 47.15 points or 2.4 percent to 1,987.66.
The continued strength was the result of bargain hunting following the steep drop in the six sessions prior to Wednesday. A rally by Chinese stocks also generated some positive sentiment.
Traders also reacted to the latest batch of U.S. economic data, including a report showing stronger than estimated economic growth in the second quarter.
A separate report from the Labor Department showed a modest decrease in initial jobless claims in the week ended August 22, while the National Association of Realtors said that pending home sales rebounded less than expected in July.
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