Tech firms power Hong Kong stocks to 6-week high amid trade optimism

Hong Kong stocks closed at a six-week peak on Monday, boosted by gains in tech firms and as investors cheered progress in Sino-U.S. trade talks.

** The Hang Seng index rose 0.8% to 26,891.26, its highest closing level since Sept. 16, while the China Enterprises Index climbed 1.0% to 10,569.82. ** U.S. and Chinese officials are "close to finalizing" some parts of a trade agreement after high-level telephone discussions on Friday, the U.S. Trade Representative's office and China's Commerce Ministry said, with talks to continue.

** Washington and Beijing are working to agree on the text for a "Phase 1" trade agreement announced by U.S. President Donald Trump on Oct. 11. Trump has said he hopes to sign the deal with China's President Xi Jinping next month at a summit in Chile. ** On Monday, tech firms led the gains as Beijing signaled more support for the sector amid the protracted trade war, including passing a new law on cryptography to gear up for the launch of China's own digital currency.

** The Hang Seng information technology index closed 2% higher, with industry bellwether Meituan Dianping rising 3.5%. ** Concerns over the economic health of the island city amid months-long protests persisted, though they were partly offset by hopes of more stimulus to arrest faltering growth.

** Hong Kong has fallen into recession, hit by more than five months of anti-government protests that show no signs of relenting, and is unlikely to achieve any growth this year, the city's Financial Secretary said. ** Around the region, MSCI's Asia ex-Japan stock index was firmer by 0.47%, while Japan's Nikkei index closed up 0.3%.

** The yuan was quoted at 7.0605 per U.S. dollar at 08:15 GMT, 0.06% firmer than the previous close of 7.0647. ** About 1.48 billion Hang Seng index shares were traded, roughly 103.1% of the market's 30-day moving average of 1.43 billion shares a day. The volume traded in the previous trading session was 1.15 billion.

** At close, China's A-shares were trading at a premium of 29.45% over Hong Kong-listed H-shares.

(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)