Hong Kong stocks edge up 0.5 pct, AI surge fails to spark wider rally: analyst

Hong Kong’s Hang Seng Index closed slightly higher Monday, lifted by gains in an AI stock, said Timothy Pope, a market analyst for China Global Television Network (CGTN).

The benchmark Hang Seng Index added 0.50 percent to finish at 24,842.67 points.

The Hang Seng China Enterprises Index inched up 0.02 percent to 8,375.74 points, while the Hang Seng Tech Index rose 1.28 percent to 4,765.58 points.

"Some of the regional markets enjoyed a strong relief rally today, but Hong Kong wasn't really one of them. The Hang Seng added 0.5 percent. Set alongside the mainland gains, what we saw in Japan, and a 5.3 percent jump for Korea's KOSPI 200, the Hang Seng was really limping along at the back of the pack today, and despite all the good news it still looks very range-bound and unable to make much traction above 25 thousand points," Pope said.

Pope noted an AI debut surged more than 30 percent, but the rally failed to lift the Hang Seng beyond a modest 0.5 percent gain.

"There was one very clear winner in Hong Kong today, and that was Knowledge Atlas Technology, also known as Zhipu AI. You'll remember it's only about a week since this stock started trading on the Hang Seng and today it was up more than 32 percent. That's because the large language model AI and AI agent developer has launched a new model which it says will be released open-source. But really, that wasn't enough to spark significant gains for the Hang Seng today," he said.

Hong Kong stocks edge up 0.5 pct, AI surge fails to spark wider rally: analyst

Tokyo stocks ended higher on Tuesday, buoyed by bargain-hunting in some heavyweight technology shares.

The benchmark 225-issue Nikkei Stock Average ended up 500.77 points, or 0.74 percent, from Monday at 67,743.50.

The broader Topix index finished 31.49 points, or 0.79 percent, higher at 4,038.98. On the top-tier Prime Market, mining, marine transportation, and chemical issues were notable gainers.

The market swung between gains and losses amid growing concern over oil supplies after U.S. President Donald Trump said Washington was reinstating a naval blockade on Iran in the Strait of Hormuz.

Analysts said persistent uncertainty surrounding the Middle East conflict, coupled with higher oil prices, is keeping investors cautious.

Heavyweight semiconductor and artificial intelligence-related shares initially tracked overnight losses on Wall Street, dragging the Nikkei index down by nearly 1,000 points at one stage.

However, bargain-hunting emerged following recent declines, lifting the market to end in positive territory.

Tokyo stocks end higher on dip buying of tech shares