Hong Kong stocks gain the most in 4 weeks as Trump suspends tariffs on electronics
The Hang Seng Index’s 2.4 per cent jump was its best one-day performance since March 18
The Hang Seng Index climbed 2.4 per cent to 21,417.40 at the close, delivering its best one-day performance since March 18. The Hang Seng Tech Index rallied 2.3 per cent. On the mainland, the CSI 300 Index climbed 0.2 per cent and the Shanghai Composite Index added 0.8 per cent.
Electronics companies led the broader market gains. Personal-computer maker Lenovo Group advanced 3 per cent to HK$8.27 and BYD Electronic International also rallied 3 per cent to HK$33.95. Alibaba Group Holding, which has the largest weighing on the Hang Seng Index, gained 5.1 per cent to HK$108.20, and Tencent Holdings, the index’s third- largest component, added 2.4 per cent to HK$454. Gold producer Zijin Mining Group jumped 4.1 per cent to HK$17.22 after first-quarter profit rose 63 per cent from a year earlier.
The pause on duties includes smartphones, laptops and memory chips, though the Trump administration said the exemption was only temporary and a separate duty would be imposed on these items. China said the US had taken a very “small step” in rectifying its mistake and urged the White House to do more to scrap the so-called reciprocal tariffs.
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“Markets, whipsawed by the tariff roulette, needed it,” said Stephen Innes, a managing partner at SPI Asset Management in Bangkok. “But let’s be clear – this isn’t a detente. Trump’s already hinted at fresh semiconductor-focused tariffs next month. So this is a ceasefire, not a peace treaty.”