Investor Optimism Lifts Mainland China and Hong Kong Stocks

Mainland China and Hong Kong stocks rose, buoyed by non-ferrous metal and AI shares, amid speculation of a U.S. Federal Reserve rate cut. Positive investor sentiment overshadowed concerns about China's economy, as comments from Fed Chair Jerome Powell and the upcoming Central Economic Work Conference remain key focuses.

Stocks in Mainland China and Hong Kong experienced gains on Monday, driven by non-ferrous metal and AI shares, as investors anticipated a possible rate cut by the U.S. Federal Reserve later this month. This optimism helped overshadow worries about domestic economic issues.

At the midday break, notable indices such as the Shanghai Composite and CSI300 saw rises of 0.42% and 0.75% respectively, while the Shenzhen index and other tech-related indices also reported gains. In Hong Kong, the Hang Seng Index and the city's tech index both posted increases.

Investor attention is keenly focused on Fed Chair Jerome Powell's upcoming comments and the Central Economic Work Conference in China, while cryptocurrency-related stocks took a hit following China's central bank decision to clamp down on virtual currencies.

(With inputs from agencies.)