04.02.202608:21:03UTC+00Hang Seng Inches Up at Finish

On Wednesday, the Hang Seng index saw a slight increase, closing at 26,847, effectively recovering from initial losses and achieving gains for a second consecutive session. This positive movement was supported by a private survey indicating that China's services sector expanded at its most rapid rate in three months this January, as the Lunar New Year drew near. Mainland stock markets showed similar resilience, particularly among defensive stocks. This coincided with a meeting of China’s top legislative body, setting the stage for their comprehensive annual meeting in March, where key economic policies, including growth targets and fiscal strategies, will be determined. Meanwhile, Hong Kong witnessed economic strength, with the private sector growing for the sixth consecutive month in January and retail sales continuing their upward trend with a sixth monthly increase in December. CK Hutchison recorded a 2.1% rise following its decision to pursue arbitration against Panama after its port licenses were annulled. Other notable performers included China Resources Land with a 5.4% gain, Pop Mart International up by 2.7%, and Nongfu Spring increasing by 2.4%. On the downside, Tencent Holdings dropped by 3.7% and SMIC declined by 2.3%, amid concerns over the potential impact of advancements in AI on traditional software industries.