China Stocks Boosted by Central Bank Signals; Hong Kong Markets Regain Ground

China's stocks saw slight gains as Hong Kong markets recovered most losses by Thursday's close, driven by signals of further policy easing from the central bank. The People's Bank of China hinted at additional measures to aid economic recovery. Various indices in China and Hong Kong showed mixed performances.

China stocks edged up while Hong Kong markets recouped most losses by Thursday's close, as the Chinese central bank sent signals of further policy easing, bolstering market sentiment. Zou Lan, head of the People's Bank of China's monetary policy department, indicated potential relaxation in bank reserve requirements, further supporting economic recovery efforts.

At the close, the Shanghai Composite Index posted a 0.14% increase to 2,788.31. The blue-chip CSI300 index climbed 0.17%, with noticeable gains in sectors such as financial (0.55%), consumer staples (0.49%), real estate (2.06%), and healthcare (0.85%). The Shenzhen index rose 0.52%, and the ChiNext Composite was up 0.649%. Hong Kong's Hang Seng index saw a minor decrease of 0.07% to 17,444.30, while the Hang Seng China Enterprises index dropped 0.46% to 6,105.54. Energy shares in Hong Kong's Hang Seng sub-index declined by 2.3%, IT slightly dipped by 0.03%, yet the financial sector saw a 0.13% increase and the property sector rose by 2.07%.

Concerns over weakening oil demand negatively impacted energy stocks in both China and Hong Kong. Notably, the Hang Seng Mainland Oil & Gas Index fell more than 3%, with China Petroleum & Chemical Corp experiencing a 6% drop. Regionally, MSCI's Asia ex-Japan stock index gained 0.37%, while Japan's Nikkei index closed down by 1.05%.

(With inputs from agencies.)