18.12.202508:20:58UTC+00Hang Seng Erases Early Losses, Ends Slightly Higher

The Hang Seng index experienced a modest increase of 29 points, or 0.1%, ending the day at 25,498 on Thursday. This uptick marked a reversal from early losses, primarily driven by gains in the financial sector. Market sentiment improved as Chinese mainland stocks showed continued strength, with traders shifting their focus to defensive sectors amid ongoing concerns regarding global artificial intelligence investment and regional geopolitical tensions. Investors were encouraged by data indicating that China's unemployment rate among young people decreased to a five-month low of 16.9% in November, suggesting a potential stabilization of the labor market. Concurrently, China's fiscal revenue saw a year-over-year growth of 0.8% in the first 11 months of the year, consistent with the previous period's rate, while expenditure growth slowed to 1.4% from 2%. In the United States, futures showed mixed performances ahead of significant inflation data expected later today, and in the wake of President Trump's year-end address to the nation. In terms of monetary policy, several central banks across Europe and Asia are scheduled to convene today and on Friday, heightening concerns about diverging policy directions. Noteworthy performers included ZTO Express with a rise of 2.5%, Prada Spa at 2.3%, Techtronic Industries gaining 1.5%, and Henderson Land Development increasing by 1.3%.