Hong Kong stocks extend rally on Fed boost - RTHK
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Hong Kong stocks extend rally on Fed boost

2020-07-30 HKT 10:11
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  • Federal Reserve's pledge to continue market support encouraged investors across the region. File photo: RTHK
    Federal Reserve's pledge to continue market support encouraged investors across the region. File photo: RTHK
Hong Kong stocks rallied in the morning session on Thursday after the Federal Reserve pledged to continue providing back-up to the US economy to help it through the virus crisis.

The Hang Seng Index rose 1.1 percent, to 25,143.

On the mainland, the Shanghai Composite Index's flat at 3,297, while the Shenzhen Composite Index was up 0.1 percent, to 2,238.

Sydney rose 0.7 percent and Tokyo went into the break 0.1 percent higher.

Taipei, Seoul, Wellington and Bangkok were also higher, though there were losses in Singapore, Jakarta and Manila.

While the central bank did not unveil any new measures and broadly met expectations, analysts said it instilled some much-needed confidence that the Fed had their back.

While the US central bank did not unveil any new measures and broadly met expectations, analysts said it instilled some much-needed confidence that the Fed had their back.

"It wasn't exactly the most riveting (policy meeting) of recent times after the Fed let the cat out of the bag late Tuesday pledging to extend its emergency programmes," said Stephen Innes at AxiCorp.

But the meeting "still managed to dot I's and cross the T's and out-dove even the market's most dovish expectations", he added.

"Investors liked what they heard from Chair [Jerome] Powell. This is a Fed that appears to feel the pulse of the economy, even despite the meeting coming in line with expectations and offering no new policy announcements." (AFP)

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Last updated: 2020-07-30 HKT 12:30