Hong Kong Stocks Claw Back As Asian Markets Rise

Hong Kong stocks enjoyed a rare rally on Friday morning, tracking gains on Wall Street and Europe, as investors consider massive stimulus and support measures by governments and central banks aimed at easing the economic burden of coronavirus.

The Hang Seng Index climbed 2.8 percent, to 21,318.

On the mainland, the Shanghai Composite Index added 0.5 percent, to 2,714, while the Shenzhen Composite Index gained 0.2 percent, to 1,685.

Other Asian equities enjoyed some much-needed gains while the US dollar eased somewhat after a lengthy rally and the embattled oil market extended Thursday's gains.

Sydney added 1.9 percent and Seoul jumped more than 4 percent.

Taipei gained almost 6 percent, Manila added 2.7 percent and Bangkok jumped 3.4 percent with Mumbai and Singapore each more than 1 percent higher. Wellington jumped 1 percent.

"For now... the artillery barrage from the world's central banks and government treasuries seems to have stopped the rot sweeping the global economy for now," said Oanda's Jeffrey Halley.

But many analysts expect markets to remain highly volatile and under pressure until health authorities get a better grasp of the scale of the outbreak in the United States and Europe and how long it will curtail activity.

The dollar was down against most other currencies after soaring over the past week owing to massive demand for the unit from investors running to safety.

The big winners were the South Korean won, Australian dollar, Mexican peso and Russian ruble, which were all up more than 2 percent, clawing back some of their recent losses.

The pound was up more than 1 percent, though it is still sitting around 35-year lows after cratering on Thursday. In Hong Kong, the Sterling was trading at HK$9.03.

Oil markets were also a little more cheery, with both main contracts enjoying further buying interest.

Brent added more than 2 percent and WTI more than 4 percent, building on to Thursday's jump of 14 percent and 24 percent respectively.

However, they are still below US$30, while the ongoing price war between Saudi Arabia and Russia is rumbling on as demand remains battered by the virus crisis. (AFP)

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