Stock Surge: Tech Boost Lifts China and Hong Kong Markets Amid Tariff Exemptions

China and Hong Kong stocks rose as tech shares climbed following U.S. tariff exemptions on smartphones and computers. The Hang Seng Tech Index advanced 2.7%. However, chip sector gains were limited by a national security probe. Analysts express cautious optimism about future trade relations and economic policies.

Stocks in China and Hong Kong climbed on Monday, driven by the technology sector after the U.S. announced tariff exemptions for smartphones and computers. This move resulted in a 2.4% rise in Hong Kong's Hang Seng benchmark and a 0.5% advance in China's CSI300 Index.

While Trump's administration plans separate tariffs on semiconductors, this temporary relief boosted Chinese Apple suppliers, with Foxconn and Goertek seeing notable increases. Nonetheless, concerns regarding national security affected the semiconductor sector, causing the CSI Semiconductor Index to drop by 0.9%.

Investor adviser Li Shuding highlighted potential improvements in trade relations following the news, along with stronger-than-expected March loan data. Despite global economic growth concerns spurred by U.S.-China trade tensions, China's exports rose 12.4% in March, outpacing expectations.

(With inputs from agencies.)