HONG KONG (AFP) – Hong Kong and Shanghai stocks rallied yesterday after China unveiled its most wide-ranging measures to support the country’s property sector, sending real estate firms soaring.
The move provided some hope for the world’s number two economy, which has been dragged by a long-running debt crisis among major developers.
However, the news was not enough to lift the rest of Asia, which was hit by a bout of profit-taking from a recent rally and concerns that bets on a United States (US) interest rate cut may have been overdone in the previous session.
Shanghai piled on one per cent, having wallowed in negative territory in the morning, while Hong Kong extended a recent advance after the plans were unveiled the plans.
Beijing said it would cut the minimum down payment rate for first-time homebuyers and suggested the government could buy up commercial real estate.
Property and construction accounts for more than a…
