The Hang Seng Index rose 0.4 per cent to 26,023.23 as of 10.21am local time. The Hang Seng Tech Index gained 0.7 per cent.
On the mainland, the CSI 300 Index climbed 0.7 per cent and the Shanghai Composite Index added 0.6 per cent.
Plush toymaker Pop Mart International Group rallied 5 per cent to HK$214.80 and chipmaker Semiconductor Manufacturing International gained 3.6 per cent to HK$71.35. Xiaomi added 2.8 per cent to HK$41.24 and electric vehicle maker Li Auto rose 1.9 per cent to HK$73.
Hong Kong stocks have been taking cues from US equities, as optimism about a reduction in the interest rate by the Federal Reserve next month fuels a recovery in risk appetite. Several Fed officials flagged their backing of a cutback in the near term. Expectations about more loosening have been reinforced after a media report surfaced that Kevin Hassett, White House National Economic Council director, was the front-runner for the next Fed Chair, an option that would align with President Donald Trump’s demand for more rate cuts.
Quantgroup Holding, which offers digital empowerment services, jumped 116 per cent to HK$21.18 on its first day of trading in Hong Kong.
