China and Hong Kong stocks rebound as stimulus hopes trump trade tensions
Wednesday, October 15, 2025       15:53 WIB

Published on 10/15/2025 at 04:40 am EDT
(Reuters) - Mainland China and Hong Kong stocks rebounded on Wednesday, as investors kept their hopes up for fresh monetary stimulus, overpowering concerns surrounding the renewed trade tensions between Beijing and Washington.
** At the close, the Shanghai Composite index rose 1.22% to 3,912.21 points, while the blue-chip CSI300 index was up 1.48%. Both indexes had earlier posted three consecutive days of declines.
** Deflationary pressures persisted in China, with both consumer and producer prices falling in September, official data showed on Wednesday, as a prolonged property market downturn and trade tensions weighed on consumer and business confidence.
** "Considering the slowing momentum in the third quarter, another month of deflation suggests that monetary policy easing remains on the table," said Lynn Song, chief economist for Greater China at ING.
"The recent escalation of tensions between China and the U.S. ahead of potential talks between Presidents Xi and Trump at the end of the month could keep the People's Bank of China on hold for the rest of October."
** An editorial by Qiushi Journal, a flagship party magazine, said the government will work on "boosting social development confidence, further stabilising market expectations, responding to market concerns timely and enhancing policy predictability."
** Meanwhile, Washington could terminate some trade ties with China, including buying cooking oil, Trump said on Tuesday.
** The U.S. and China on Tuesday began charging additional port fees on ocean shipping firms.
** In Hong Kong, the Hang Seng Index rose 1.84% to 25,910.60 points, snapping seven consecutive sessions of losses, its longest since January 2024. The tech index jumped 2.57%.
** Separately, investors will focus on the Communist Party's Fourth Plenum, from October 20 to 23, which will outline the country's economic, political and social agenda as well as its development plans for the next five years.
 (Reporting by Shanghai Newsroom; Editing by Harikrishnan Nair) 

Sumber : Reuters