Hong Kong and mainland stocks joined a global relief rally on Wednesday and the yuan firmed against the US dollar after US President Donald Trump signalled that an end to the Iran war could be in sight.

The benchmark Hang Seng Index finished up two percent to close at 25,294 points.

The Hang Seng China Enterprises Index climbed 1.56 percent to 8,504 points, and the Hang Seng Tech Index hiked 2.29 percent to 4,756 points.

China's blue-chip CSI300 Index rebounded 1.7 percent in its best day in ⁠almost three months. The Shanghai Composite Index gained 1.5 percent.

"The Iran war will wrap up quickly," said Zeng Wenkai, chief investment officer at Hong Kong-based Shengqi Asset Management.

"The US and Iran won't need to strike a deal. US troops will pull out, Iran won't really have a choice and won't ⁠block [the Strait of Hormuz] and global stocks will jump."

However, he expected mainland stocks to rise less forcefully than other markets, which have been hurt more severely by the oil shock. (Xinhua/Reuters)


Edited by Edmond Fong