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16.07.202602:03:34UTC+00Hong Kong Stocks Climb Higher

The Hang Seng Index climbed 1.3%, or 305 points, to 24,995 on Thursday, extending its rally as investor sentiment improved on softer-than-expected US inflation data and broad optimism across global markets. Gains were driven by buying in financial, consumer, and technology shares, with investors continuing to rotate into Hong Kong-listed equities despite weaker-than-forecast Chinese economic figures.

Sentiment was further lifted after US producer prices unexpectedly declined in June, reinforcing expectations that inflationary pressures are easing. Nonetheless, caution persisted as crude oil prices advanced following fresh US strikes on Iran, stoking fears that escalating tensions in the Middle East could disrupt global energy supplies and keep inflation risks elevated.

Among notable gainers were Tencent (+2.0%), Xiaomi (+3.7%), Meituan (+2.9%), AIA (+1.1%), and Pop Mart International (+4.4%).

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