Hong Kong Stocks Up As China-US Talks Lift Markets

Hong Kong shares finished on Friday morning with healthy gains as easing China-US tensions and news that governments were slowly reopening their economies offset a string of bad data from around the world.

The Hang Seng Index climbed 1 percent, to 24,218 by the break.

On the mainland, the Shanghai Composite Index added 0.9 percent, to 2,897 while the Shenzhen Composite Index put on 1.2 percent, to 1,809.

Tokyo ended the morning 1.8 percent higher as investors looked past a string of depressing data.

Seoul jumped more than 1 percent, while Sydney and Taipei both put on 0.8 percent. There were also gains in Wellington and Jakarta.

Traders were lifted by news of possible easing of China US-tensions as officials on both sides held telephonic talks about the trade deal.

After crashing in the space of a few weeks, global equities are up about 20 percent since their trough in March, and analysts say the gains could continue.

JP Morgan Chase analysts wrote in a note: "While the collapse in economic activity is historic, so too is the global policy response to cushion the impact and support a recovery.

"We expect risky assets to continue to recover as economies reopen." They did, however, expect gains to slow down. (AFP)

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