HSI Joins Asian Rally As Trade Talks Lift Markets

Hong Kong stocks rose almost 1 percent in the morning session on Friday, in line with a global advance after a report said the US was considering lifting tariffs on China in a bid to reach a trade deal.

The Hang Seng Index climbed 1 percent, to 27,013 by the break.

On the mainland, the Shanghai Composite Index added 0.8 percent to open at 2,579, while the Shenzhen Composite Index was up 0.3 percent, to 1,312.

Most other Asian markets rallied as optimism rose that the world's top two economies are on course to reach a deal ending their long-running trade row has helped boost equities across the world this year.

Tokyo ended the morning 1.3 percent higher. Sydney, Seoul and Singapore were each 0.5 percent higher while Wellington and Taipei added 0.3 percent. Manila and Jakarta were also up.

"The US government has said that there have been no formal talks to scale back tariffs, but the market saw the half glass full as the reports signal that concessions are in the works," said Alfonso Esparza, senior market analyst at Oanda.

However, there was still scepticism among analysts, with the two sides still far apart on a number of issues, particularly regarding intellectual property. (AFP)

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