Hong Kong stocks climb, led by pharmaceutical, tech stocks

Hong Kong's stock market experienced a rise on Tuesday, mirroring a stronger overseas market. Pharmaceutical and technology stocks emerged as the primary drivers of this upward trend, despite pressure from property developers. The Hong Kong benchmark Hang Seng index gained 0.78% by midday, while the Hang Seng China Enterprises Index increased by 0.82%.

The Hang Seng Biotech Index saw a notable surge of nearly 3%, alongside the Hang Seng Tech, which rose by 0.87%. Among the companies driving this positive momentum were WuXi Biologics and Sino Biopharmaceutical, which respectively climbed by 4.2% and 4.1%. Other stocks benefiting from the rally included Sunny Optical, Baidu, Kuaishou, and Alibaba, with their prices increasing between 2.8% and 3.7%.

However, the financial markets in China's onshore region were closed for the country's National Day holiday and would reopen on October 8. Property developers endured a decline, with Sun Hung Kai Properties falling by 0.4% and CK Asset slipping by 0.3%. UOB Kay Hian, a brokerage, predicted that residential property prices would stabilize throughout 2026.

New World Development experienced a decline of 3.8%, following its announcement of a debt exchange offer. This offer enabled bondholders to switch some of their notes due in 2027 and 2028 for new secured debt, which would mature in 2032.