Hong Kong stocks rise on Goldman’s DeepSeek-led upgrade, Beijing tech meeting

The Hang Seng Index increased 0.3 per cent to 22,677.08 at 10.30am local time, adding to a 7 per cent surge last week. The Hang Seng Tech Index advanced 0.4 per cent. The CSI 300 Index, which tracks the biggest stocks listed in Shanghai and Shenzhen, was little changed, after increasing as much as 0.4 per cent earlier.

Technology heavyweights led gains. E-commerce leader Alibaba Group Holding added 1 per cent to HK$125.40 while Tencent Holdings advanced 5.2 per cent to HK$499.60 and Kuaishou Technology gained 1.5 per cent to HK$54.30. Chipmaker SMIC jumped 3.2 per cent to HK$47 and food delivery platform Meituan rose 2 per cent to HK$173.40.

Goldman upgraded its 12-month target for MSCI China Index to 85 from 75, implying a 16 per cent upside from current levels, analysts including Kinger Lau wrote in a report on Monday. The Wall Street investment bank also raised its target for CSI 300 Index to 4,700 from 4,600, implying a 19 per cent upside.

Widespread AI adoption could boost corporate earnings could improve by 2.5 per cent annually over the next decade, Goldman said, while “a confidence boost could also raise the fair value of China equity by 15 to 20 per cent and potentially usher in over US$200 billion” of inflows, it added.