HONG KONG (AFP) - SHARES rose 1.73 per cent on Friday as dealers welcomed China's rebuttal of claims that it was reviewing its eurozone debt holding.
The benchmark Hang Seng Index ended 335.34 points higher at 19,766.71. Turnover was HK$71.67 billion (S$12.9 billion).
The index was given a strong lead from the Dow, which soared with global markets after Beijing described as 'baseless' a Financial Times report that it was reconsidering its euro bonds in the wake of the eurozone crisis.
However, Ben Kwong, chief operating officer at KGI Asia Securities, told Dow Jones Newswires: 'I would suggest investors lock in profits quickly whenever the market rebounds as eurozone concerns won't clear up in the short term.
'Current gains are more related to a technical rebound and short-covering activities, but fundamentals remain unchanged.' Banking giant HSBC led the blue-chip rally, rising 2.1 per cent to HK$71.60.
Chinese oil companies picked up on expectations of higher demand, with CNOOC up 2.7 per cent at 12.34 and PetroChina 3.5 per cent higher at 8.49. The Shanghai Composite Index, which covers both A and B shares, ended flat, edging down 0.15 points to 2,655.77 on turnover of 98.6 billion yuan (S$20.2 billion).