Hong Kong stocks hit 7-week high as investors rotate to Chinese tech names

The Hang Seng Index advanced 1.3 per cent to 26,694.56 as of 10.15am local time, heading for the highest close since November 13. The Hang Seng Tech Index jumped 1.6 per cent.

On the mainland, the CSI 300 Index and the Shanghai Composite Index both climbed 0.7 per cent.

Gold producer Zijin Mining Group rallied 5 per cent to HK$38.38 as the metal approached a record with the haven trade taking hold. Pop Mart International Group advanced 4.2 per cent to HK$204.20. Baidu added 1.8 per cent to HK$146, and NetEase rallied 2.9 per cent to HK$229. Tencent Holdings gained 1.9 per cent to HK$636.50, and Meituan added 1.9 per cent to HK$107.40.

Chinese technology stocks stood out as concerns grew about whether the elevated valuations of US peers would hold up after years of outperformance. Alibaba Group Holding, Tencent and other Chinese tech giants now hold a valuation edge over the US Magnificent Seven stocks and their growth prospects have brightened thanks to faster adoption of artificial intelligence.

Investors also boosted wagers that China will ramp up policy support to prop up economic growth in 2026 after the latest monthly data indicated a broad-based slowdown.