FX.co ★ Hang Seng Ends at Two-Week High with 7% Monthly, 11% Quarterly Gains

The Hang Seng Index rose by 233 points, or 0.9%, closing at 26,855 on Tuesday, overcoming initial declines to reach its highest level in two weeks with broad-based gains. In September, the index surged 7%, marking its fifth consecutive month of increases. It also recorded a third quarterly rise of 11.6%, driven by optimism in artificial intelligence, substantial inflows, and the anticipation of new policy support from Beijing ahead of the October plenary session. However, gains were limited by political uncertainty in the United States, as Vice President Vance cautioned that the government could be on the brink of a shutdown due to stalled budget discussions. Traders also engaged in profit-taking in anticipation of China's upcoming week-long holiday from October 1st to 8th, during which Hong Kong markets will be closed on October 1st and 7th. Additionally, PMI data for September indicated a slowing contraction in China's manufacturing sector but revealed slower growth in services. ZG Group saw a 15% surge following its announcement to repurchase up to 107.11 million shares, while MMG Ltd. increased by 7.5% due to news of debt repayment. Other top gainers included Kuaishou with a 7.4% rise, Akeso up by 4.7%, Geely Auto advancing by 4.5%, and SMIC gaining 3.8%.