SMIC, WuXi Bio lead Hong Kong rally after Trump changes tune on TikTok ban in the US

The Hang Seng Index rose 0.4 per cent to 19,797.86 as of 11.16am local time. The benchmark dropped 1.3 per cent last week. The Hang Seng Tech Index gained 0.1 per cent.

Trading in Hong Kong will be curtailed this week because of the Christmas holiday, with investors staying on the sidelines. The turnover on Monday was 15 per cent below the 30-day average, according to Bloomberg data. The exchange will remain open for half a day on Tuesday and will be shut on Wednesday and Thursday.

On the mainland, the CSI 300 Index climbed 0.7 per cent and the Shanghai Composite Index retreated 0.2 per cent.

Stocks at the centre of US-China tensions advanced. Semiconductor Manufacturing International Corp (SMIC) and WuXi Biologics rose at least 1.7 per cent.

In a speech to conservative supporters in Phoenix, Arizona, Trump said he opposes a potential exit of TikTok from the US market, showing his rapidly changing stance on the popular social media app. The US Senate passed a law in April requiring TikTok’s Chinese parent company, ByteDance, to divest the app, citing national security concerns.