China's Economic Resurgence Fuels Stock Market Surge

China and Hong Kong stocks soared with impressive economic data exceeding expectations. The blue-chip CSI300 Index and the Hang Seng showed notable gains as China's economy displayed robust growth, driven largely by the tech and semiconductor sectors. Real estate also rebounded, despite challenges facing corporate giant Vanke.

China and Hong Kong's stock markets saw significant gains on Friday, buoyed by stronger-than-anticipated economic data that lifted market sentiment. The CSI300 Index and the Shanghai Composite Index rose, while the Hang Seng index in Hong Kong ticked upwards by 0.2% as the week drew to a close.

China's economy ended 2024 on a high, with a dramatic 5.4% growth in the fourth quarter, surpassing analysts' predictions and recording the fastest increase since 2023's second quarter. Industrial output also surpassed expectations, growing by 6.2% year-on-year in December.

Technology and semiconductor stocks were at the forefront of the rally, as investors concentrated on self-reliant innovation amid looming trade tensions with the U.S. Tech indexes in China and Hong Kong surged, with SMIC witnessing a remarkable 10% jump.

(With inputs from agencies.)