Shares in Hong Kong climbed 322 points or 1.4% to 22,941 in early trade on Monday, marking the second straight session of surge, driven mostly by strength in tech and consumers. The Hang Seng held at its highest in over four months, due to a softer US approach to reciprocal tariffs and optimism for the China's tech sector following the emergence of a low-cost AI model. Tencent Hlds. surged 7.5%, as its app, Weixin, launched beta testing with Deepseek. Meanwhile, the PBoC pledged last week to further tweak monetary policy to spur recovery while maintaining ample cash and aligning money supply with economic and inflation targets. On the business front, Chinese President Xi Jinping is set to chair a symposium this week, with attendance from Jack Ma and other prominent mainland business leaders. In the US, Wall Street posted weekly gains on Friday, as traders shrugged off a worse-than-expected fall in January retail sales.

The China Enterprises Index climbed 44 points, or 0.53%, to 8,376, while the Hang Seng Tech Index surged 72 points, or 1.31%, to 5,599.

Technology stocks outperformed, driven by Tencent's 6.5% jump following reports that WeChat is testing integration with the DeepSeek model. Other tech players also advanced: Meituan gained 2.5%, Kuaishou climbed 4.9%, while Alibaba, Xiaomi, and JD.com each edged up 0.6%.
Financial stocks showed mixed performance. HSBC Holdings rose 0.5%, Ping An Insurance inched up 0.1%, and Hong Kong Exchanges and Clearing added 1.2%. Conversely, AIA Group slipped 1.2%.

Source: Trading Economi