A rally in Hong Kong stocks spurred by easing of restrictions on home purchases in Shanghai faded at close of trade on Tuesday, as investors digested the implications of the first property relaxation steps announced by a top-tier city, with much of the expectations already reflected in the prices.
The Hang Seng Index eased by less than 0.1 per cent to 18,821. 16 at the close, after climbing as much as 0.9 per cent during the day. The Hang Seng Tech Index dropped 0.5 per cent, and the Shanghai Composite Index shed 0.5 per cent.
China’s property market was in focus with traders as Shanghai, the country’s biggest commercial city, offered subsidies for homebuyers and allowed multi-child families to buy one more house starting Tuesday, as a follow-through of a nationwide sector rescue plan launched earlier this month. Other easing measures unveiled by the Shanghai government on Monday included cuts in down payment ratios and mortgage…
