Hong Kong stocks surged by more than 3 per cent Wednesday morning in response to the overnight interest rate cut by the US Federal Reserve. ( dpa )
By midday, the Hang Seng Index was up 690.19 points, or 3.23 per cent, at 22,074.8 points. Turnover was 44.7 billion Hong Kong dollars (5.75 billion US dollars).
The surge came after the decision by the US central bank to trim its benchmark interest rate by 75 basis points to 2.25 per cent and better-than-expected earnings from US investment banks Lehman Brothers and Goldman Sachs.
The positive news brought about a rally on Wall Street Tuesday with the Dow Jones Industrial Average closing 3.5 per cent higher.