China stocks edge higher on AI optimism; HK down on tech drag

China stocks edged higher on Thursday, supported by ​optimism over artificial intelligence after Chinese Premier ​Li Qiang called for broader technological innovation ‌and ​AI adoption, while tech shares weighed on Hong Kong markets.

China stocks edged higher on Thursday, supported by ​optimism over artificial intelligence after Chinese Premier ​Li Qiang called for broader technological innovation ‌and ​AI adoption, while tech shares weighed on Hong Kong markets. ** China's blue-chip CSI300 Index nudged 0.2% higher by the lunch break, while ‌the Shanghai Composite Index edged up 0.1%. Hong Kong's benchmark Hang Seng was down nearly 1%.

** Onshore artificial intelligence stocks climbed roughly 1% after Li, China's second-ranking official, said on Wednesday that the country should better ‌coordinate power and computing resources to advance AI. ** Market sentiment was also supported by news ‌that Chinese AI start-up Zhipu AI released its latest AI model, and ByteDance is also developing an AI chip.

** Shares of Zhipu AI jumped nearly 25% to a fresh high since market debut on January 8. ** However, tech majors ⁠traded in ​Hong Kong fell nearly 2%, ⁠dragging performance offshore.

** The tech shares have underperformed since late last year, but analysts at CMS Securities said the ⁠slide reflected a sharp liquidity shock rather than a shift in fundamentals. With the peak of overseas liquidity ​stress seen as having passed, they viewed buying the dip as a viable strategy. ** Most ⁠of China's 33 stocks, which are to be added to the MSCI China A Index series, climbed on expectations of ⁠fresh money ​inflows.

** Shares of Chinese chipmaker Wingtech slumped 4% to a nearly six-month low after a Dutch court ordered probe into alleged mismanagement at its unit Nexperia and as rating agency CCXI ⁠downgraded Wingtech's credit rating. ** China Vanke's Hong Kong shares jumped as much as 8% after media reported ⁠Shenzhen government drafted ⁠an 80-billion-yuan rescue package for the developer.

** Auto shares traded onshore and offshore rose 0.5% each after China released guidelines for the industry, aimed at regulating ‌pricing behaviour, ‌curbing price wars and preventing unfair competition.

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