Alibaba, Nio Rise: Hang Seng Opens Higher On Easing China Inflation, Strong Wall Street Cues

Hong Kong shares opened in the green on Friday following positive cues from Wall Street where major indices gained following the release of the jobless claims data. Investors and traders also digested lower China inflation for November.

Investors also weighed China’s consumer price index (CPI) rising by 1.6% in November compared to a year earlier, down from 2.1% growth in October. The producer price index declined by 1.3% in November, unchanged from October, reported the South China Morning Post.

The benchmark Hang Seng gained 0.7% in morning trade. Shares of Alibaba and Nio rose over 1%.

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Macro News: Saudi Arabia and China have highlighted deepening ties with a series of strategic deals on Thursday during President Xi Jinping’s visit, including one with tech giant Huawei, reported Reuters.

China's passenger vehicle sales declined for the first time in six months in November, falling 9.5% from a year earlier to 1.67 million units, reported Reuters.

Company News: Alibaba Group Holding is intending to cultivate 200,000 new influencers to expand its live-streaming business, reported the South China Morning Post.

Nio is set to hold NIO Day 2022 on December 24 at the Hefei Binhu International Convention and Exhibition Center in Hefei, Anhui province, reported CnEVPost.

A letter from Foxconn Technology Co. FXCOF founder Terry Gou played an important role in persuading China’s Communist Party leadership to fast-track plans to dismantle COVID-zero policies, reported the Wall Street Journal, citing people familiar with the matter.

Top Gainers and Losers: Country Garden Services Holdings Company Limited and China Resources Land Limited were the top gainers among Hang Seng constituents, having risen over 7% and 4%, respectively. CNOOC Limited and Galaxy Entertainment Group Limited were among the top losers, having shed over 0.5% each.

Global News: U.S. futures traded in the green on Friday morning Asia session. The Dow Jones futures gained 0.03% while the Nasdaq futures rose 0.12%. The S&P 500 futures were trading higher by 0.1%.

Elsewhere in Asia-Pacific, Australia’s ASX 200 was up 0.2%. Japan’s Nikkei 225 traded 1.21% higher, while China’s Shanghai Composite index fell 0.2%. South Korea’s Kospi rose 0.55%.

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