Hong Kong Market gains on Beijing's support

Hong Kong share market finished session higher on Thursday, 23 June 2022, after signs of support from Beijing boosted tech heavyweights. At closing bell, the benchmark Hang Seng Index added 265.53 points, or 1.26%, to 21,273.87. The Hang Seng China Enterprises Index was up 128.08 points, or 1.75%, to 7,463.08.

Leading the upside were Geely Automobile, up 7.4%, followed by e-commerce colossus Alibaba, up 6.4%, and then automaker BYD, up 4.5%. On the downside were shipping line Orient Overseas, off 5.3%, and then aluminum-producer China Hongqiao, off 2.1%.

Tech shares rose after Chinese President Xi Jinping signalled support to the country's leading payment and fintech firms in the latest indication that Beijing is easing its regulatory crackdown on the sector.

Electric vehicle stocks advanced on reports that Beijing is considering extending tax exemptions. EV battery maker CATL surged nearly 6% after completing a share placement that counted Macquarie Bank, JP Morgan Chase Bank and Barclays Bank as investors.

Shares of Chinese automakers jumped, after China's cabinet vowed on Wednesday to step up support to automobile purchases.

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