FX.co ★ Hong Kong Stock Market Tipped To Open In The Green

The Hong Kong stock market ended its four-day losing streak on Friday, during which it had plummeted nearly 1,100 points or 5.2%. The Hang Seng Index is now positioned just above the 20,800 mark, suggesting potential additional support as trading resumes on Monday.

The global outlook for the Asian markets is promising, buoyed by generally favorable earnings reports. While European markets showed mixed results, U.S. stock exchanges were trending upward, indicating that Asian markets are expected to follow suit.

On Friday, the Hang Seng experienced a notable rally with widespread gains, driven particularly by technology and property stocks. The index soared 725.01 points or 3.61%, closing at 20,804.11, after fluctuating between 20,058.67 and 20,952.99 throughout the session.

Notable performers included Alibaba Group, which rose by 2.03%, and Alibaba Health Information, which surged 9.16%. ANTA Sports strengthened by 3.75%, China Life Insurance jumped 6.52%, and both China Mengniu Dairy and CITIC saw gains of 4.51%. Meanwhile, China Resources Land increased by 3.97%, while CNOOC slightly dipped by 0.11%. CSPC Pharmaceutical leaped 8.06%, and Galaxy Entertainment improved by 3.09%. Haier Smart Home advanced 3.13%, Hang Lung Properties climbed 3.72%, and Henderson Land gained 1.93%. Hong Kong & China Gas rose by 1.47%, Industrial and Commercial Bank of China by 1.91%, and JD.com by 2.65%. Lenovo appreciated by 6.24%, Li Auto jumped 4.73%, and Li Ning climbed 3.58%. Meituan increased by 8.93%, New World Development advanced 3.28%, Nongfu Spring surged 5.29%, Techtronic Industries strengthened 4.39%, Xiaomi Corporation spiked 6.28%, and WuXi Biologics soared 8.70%.

Wall Street contributed positively, as major averages began Friday with mixed movements but gained momentum, closing near session highs. The Dow Jones Industrial Average added 36.86 points or 0.09%, reaching a record 43,275.91. The NASDAQ climbed 115.94 points or 0.63% to 18,489.55, and the S&P 500 rose 23.20 points or 0.40% to 5,864.67. Over the week, the Dow gained 1.0%, the S&P increased 0.9%, and the NASDAQ rose 0.8%.

The NASDAQ’s strong performance was bolstered by Netflix, whose shares soared 11.1% to a record closing high following better-than-expected Q3 results. Conversely, American Express saw a sharp decline of 3.2% in its share price, impacting the Dow's performance. Despite reporting Q3 earnings above estimates, the company's revenues fell short of expectations.

In economic news from the U.S., the Commerce Department noted a slight decline in housing starts and building permits for September.

Oil prices fell on Friday due to downward revisions in demand forecasts by OPEC and the International Energy Agency. West Texas Intermediate crude oil futures for November dropped $1.45 or 2.05% to $69.22 a barrel, with WTI crude futures falling over 8% during the week.