SHANGHAI, April 10 Hong Kong shares ended at
their highest in more than three months on Thursday, after
Beijing's securities regulator said it would allow cross-border
stock investment between Hong Kong and Shanghai.
The Hang Seng Index ended up 1.5 percent, to hit its
highest close since Jan. 2. The China Enterprises Index
of the top Chinese listings in Hong Kong increased 0.4 percent.
Hong Kong listed mainland shares reversed morning losses in
the afternoon on the news, with securities firms the biggest
Shares of the country's two-largest brokerages surged, with
CITIC Securities Co Ltd gaining 9.2 percent and
Haitong Securities Co Ltd climbing 7.5 percent.
The new rules would mean increased mainland investment in
Hong Kong stocks, with an initial pilot limited to a 250 billion
yuan ($40.32 billion) overall quota and 10.5 billion yuan daily
quota. Hong Kong will also require mainland investors to be
institutions or individuals with 500,000 yuan in their accounts.
Tencent Holdings Ltd jumped 7.8 percent on the
news, registering its highest one-day percentage gain since
($1 = 6.2005 Chinese Yuan)
(Reporting by Chen Yixin and Natalie Thomas; Editing by