Hang Seng Index News: EV, Tech Stocks Power Gains as Policy Bets Heat Up

Overnight, on Monday, July 21, US tech stocks lifted the Nasdaq Composite Index ahead of crucial earnings reports, setting the tone for the Asian session on Tuesday, July 22.

Key upcoming earnings, private sector PMI data, trade developments, and Beijing’s policy announcements will continue to dictate sentiment. These factors could dictate whether the Index breaks below 24,500 or targets 26,000.

Hang Seng Index Advances as Politburo Meeting Looms

US equity markets had a mixed session on July 21, as investors considered upcoming earnings reports and trade developments. The Nasdaq Composite Index rose 0.38%, while the Dow slipped 0.04%. Alphabet (GOOGL) and Tesla (TSLA) released quarterly earnings results on July 23, spotlighting the so-called MAG7—top US tech firms.

US tech sector gains lifted demand for Hong Kong-listed tech stocks. The Hang Seng Index climbed 0.25% to 25,057 in morning trading on July 22. Optimism over a US-China trade deal and fresh stimulus from Beijing bolstered demand for Hong Kong-listed stocks.

Mainland China markets also advanced. The CSI 300 and the Shanghai Composite Index posted gains of 0.37% and 0.25%, respectively.

Will EV and Tech Stocks Sustain the Hang Seng Rally?

Tech heavyweights Baidu (9988) and Tencent Holdings (0700) advanced 0.92% and 0.58%, respectively, lifting the Hang Seng TECH Index 0.07%. Electric vehicle (EV) stocks BYD (1211) and Geely Auto (0175) posted gains of 2.19% and 0.54%, respectively.