Chinese Tech Stocks Soar to Five-Year High on AI Boom and Earnings Surprises

Chinese technology stocks listed in Hong Kong are experiencing their best winning streak in five years, with the Hang Seng Tech Index surging 6.5% on Friday to a three-year peak. This marks the sixth consecutive week of gains, driven by unexpected earnings and renewed interest in China's artificial intelligence sector. Alibaba's shares jumped 14.6% after beating revenue expectations, while Lenovo and Xiaomi also saw significant gains. The rally, sparked by the launch of DeepSeek's low-cost AI model, has added over $1.3 trillion to China's equity markets in just a month. Investors are optimistic about potential policy shifts and narrowing valuation gaps with emerging markets.

 

Sources: Reuters, Bloomberg, HSBC Research