Hong Kong Market rises 2%

Hong Kong stock market finished session higher on Monday, 11 October 2021, after Beijing slapped better-than-feared antitrust penalty on food delivery giant Meituan. At closing bell, the benchmark Hang Seng Index advanced 1.96%, or 487.24 points, to 25,325.09. The Hang Seng China Enterprises Index grew 2.55%, or 223.61 points, to 8,999.26.

China's State Administration for Market Regulation (SAMR) slapped food delivery giant Meituan with a 3.44 billion yuan ($534.3 million) antitrust fine for abusing its dominant position. The fine equated to 3% of Meituan's 2020 revenue. The fine was far smaller than the 18.23 billion yuan ($2.8 billion) fine that Alibaba had been slapped with back in April.

 

Meanwhile, sentiments also strengthened after weekend talks between senior Chinese and U.S. officials raised hopes the two sides may find ways to start ironing out a host of disputes. China said on Saturday it pressed the United States to eliminate tariffs in talks between the countries' top trade officials that Washington saw as a test of bilateral engagement between the world's biggest economies.

Tech stocks saw sizable gains, with Tencent rising 2.95% while Alibaba surged 7.91%. Shares of Meituan surged 8.36%. China's market regulator on Friday fined the company about 3.4 billion yuan ($527.71 million) after finding it guilty of monopolistic practices.

Powered by Capital Market - Live News