Hong Kong stocks closed more than four percent higher on Tuesday, as investors cheered Chinese moves to ease Covid-19 restrictions and the broadly positive talks between President Xi Jinping and US counterpart Joe Biden.

The Hang Seng Index jumped 4.1 percent, or 723 points, to 18,343 -- extending its rally into a third day.

The Shanghai Composite Index rose 1.6 percent, or 50 points, to 3,134, while the Shenzhen Composite Index climbed 2.1 percent, or 41 points, to 2,054. (AFP)