Hong Kong Stocks Bounces Back – Sunny Optical and ACC Progress

HONG KONG – Hong Kong stocks retreat on Monday as depositors anticipated details of a Sino-American exchange deal. It moved the Hang Seng index to its best moment on Friday in over three months, as per reports.

China and the United States (US) decided to a phase one exchange deal, succeeding months of increasing tensions between the biggest economies of the world. It involves the two countries in striking retributive tariffs on the goods of each other.

Hang Seng Index’s 50-stock increased 2.6% on Friday, despite signs that the agreement was imminent. As part of the deal, the US is dividing by half a 15% tariff on approximately $120 billion in Chinese merchandise. Also, it’s appending plans for liabilities on items worth around $160 billion, which are supposed to be effective on Sunday. Furthermore, China accepted the deal to make more acquisitions of US goods.

According to the CEB International’s Head of Research, Banny Lam, the market has appraised in many exchange deal news. He also added that users are still waiting for the specifics, and depositors are waiting as well for excellent news. Moreover, he mentioned that these investors would take the income first before coming back.

On Monday, the percentage of Hang Seng Index went from 0.70% to 27, 508.09, which is a sudden loss in almost two weeks. Funding companies China Construction Bank and AIA Group dropped 0.8% and 2%, respectively.

Smartphone component distributors extended their current progress on optimism beyond the sales outlook, and these sales are for 5G handsets in China. AAC Technologies Holdings climbed to 1.4%, while Sunny Optical Technology Group gained 2.4%. Moreover, Xiaomi had a boost of 1.2%.

The Shanghai Composite increased by 0.60%. China aims to set a lesser financial growth target of about 6% in the year 2020, from the goal of 6% to 6.5%. This report was based on Reuters.

It was reported that Air China in Hong Kong is at 0.3%, which is higher after the 3.2-percent increase in passenger traffic in November.

China Resources Land had an increase of 1.3% after the 49.1-percent jump in the gross contracted sales in November.

A developer of port-related services called PYI increased to 20.3% as the exchange continued after the company made a statement on the midday break on Monday. It’s stated that two of the units entered conditional deals to trade their shares. These are in two ports for the entire initial consideration worth $94 million.

After the reported 13.1-percent profit increase of beauty center operators, the percentage of the Water Oasis Group went to 12.6%. Furthermore, the increase in revenue was 7.9%.

There was a decline in the percentage of Hope Education Group, which is at 2.6%. As per the company, it mentioned that it would get two assets for 84.7 million yuan in China. It’s to enlarge the training space, and offer student places.