Summary The benchmark Hang Seng Index added 119.27 points to 24,494.51 on turnover of HK$91.75 billion
HONG KONG (AFP) - Hong Kong stocks climbed 0.49 percent on Monday following a strong lead from Wall Street and Europe, while hopes for fresh government stimulus measures sent Shanghai soaring almost two percent.
The benchmark Hang Seng Index added 119.27 points to 24,494.51 on turnover of HK$91.75 billion ($11.84 billion).
The week s trading got off to a strong start as investors picked up from where their US and European counterparts left off.
On Wall Street the Dow rose 0.94 percent, the S&P 500 added 0.90 percent and the Nasdaq gained 0.68 percent to end above 5,000 points for the first time since March 2000 and for only the fourth time ever.
And in Europe, London s FTSE closed above 7,000 points for the first time in its history, while the Paris CAC 40 is at levels not seen since early 2008.
Global equity markets have enjoyed increased buying activity since the Federal Reserve on Wednesday lowered its forecasts for US interest rates and economic growth -- almost putting an end to talk of a rate increase in early summer, as had been expected.
Also helping the advance in Hong Kong was a ninth-straight rise in Shanghai, after Chinese Premier Li Keqiang this month said more measures could be taken to boost the economy.
Among Hong Kong gainers Sino Land climbed 4.86 percent to HK$12.08, Tencent jumped 1.82 percent to HK$145.20 and HSBC rose 1.35 percent to HK$67.35.
Insurer Ping An was 1.47 percent higher at HK$93.45 but casino operator Galaxy slipped 1.52 percent to HK$35.55, while Sinopec lost 2.10 percent to HK$6.07.
In mainland China the benchmark Shanghai Composite Index jumped 1.95 percent, or 70.41 points, to 3,687.73 -- near a seven-year high -- on turnover of 661.6 billion yuan ($107.7 billion).
The Shenzhen Composite Index, which tracks stocks on China s second exchange, rose 2.74 percent, or 50.70 points, to 1,903.64 on turnover of 546.1 billion yuan.
"Policy-wise, investors are betting on more monetary easing to further lift the market and there is no negative news to stop the market from rising," Northeast Securities analyst Shen Zhengyang told AFP.
A spokesman for the China Securities Regulation Commission, the market regulator, on Friday said that the recent rally was "reasonable", state media reported.
"(The) CSRC s comments display official support for the market rally and the medium- and long-term trend should be upward," West China Securities analyst Wei Wei told Bloomberg News.
In Shanghai, railway construction companies rose. China Railway Construction surged by its 10 percent daily limit to 17.57 yuan, while China Railway Erju added 2.30 percent to 24.51 yuan.
Newly listed Orient Securities surged 44 percent -- the maximum allowed for new listings -- to 14.44 yuan.
Energy giant Sinopec edged up 0.31 percent to 6.43 yuan despite reporting that its net profit slumped 29.7 percent in 2014.
