Hong Kong stocks rise in subdued trading as US-China tariff deadline looms

The Hang Seng Index fluctuated between gains and losses, before closing 0.2 per cent higher at 24,906.81. The Hang Seng Tech Index finished almost unchanged. On the mainland, the CSI 300 Index and the Shanghai Composite Index gained at least 0.3 per cent.

BYD Electronic International jumped 6.2 per cent to HK$38.68 and Xinyi Solar Holdings rallied 5.1 per cent to HK$3.32. Alibaba Group Holding added 1.9 per cent to HK$118.50. Limiting gains, Macau casino operator Galaxy Entertainment slumped 2.9 per cent to HK$39.56 and parcel delivery firm ZTO Express lost 2.4 per cent to HK$159.90.

Investors are in for an eventful week, with developments awaited on the tariff front, economic data and earnings results. The 90-day tariff ceasefire between Beijing and Washington expires on Tuesday following a third round of talks in Stockholm last month that yielded no substantial agreement. UBS’ wealth management unit said last week that the tariff on Chinese exports to the US may eventually range between 30 and 40 per cent.

Corporate earnings will also be in focus. Some of the biggest constituents in the Hang Seng Index are due to disclose interim reports this week, with Tencent Holdings on Wednesday, and NetEase and JD.com on Thursday. US inflation data for July is due on Tuesday, while China will release its key July economic data on Friday.