Hong Kong and Chinese stocks closed higher on Tuesday finishing a mixed year on a bright note, but Shanghai's benchmark index ended as one of the world's worst performers.
The benchmark Hang Seng Index ended up 0.26 percent, or 61.52 points, at 23,306.39 on turnover of HK$30.62 billion ($3.95 billion). The index finished the year 2.87 percent up from its 2012 close.
Dealers took heart from the Dow's record close, with the market jumping 0.16 percent, its fourth all-time high in the past five sessions and the 51st of the year.
However, while the Hang Seng ended in positive territory it lagged other big bourses, with the Nikkei in Tokyo 57 percent higher over the year, Sydney up 15 percent and the Dow more than 27 percent higher.
The index endured a mixed year, with its closeness to the mainland Chinese market dragging on its performance after it was hit by liquidity crises in June and December.
For the year, the biggest winners for the year were casino stocks and China tech companies. Galaxy Entertainment soared 127 percent while Sands China was up 84 percent to become the third-best performer.
Internet firm Tencent nearly doubled to sit near the HK$500 level.
Among the big losers was China Coal Energy, which lost 48 percent, while China Shenhua Energy and Hong Kong merchandiser Li & Fung each lost about a third of their value.
On the mainland the benchmark Shanghai Composite Index rose 0.88 percent, or 18.45 points, to 2,115.98 on turnover of 71.5 billion yuan ($11.8 billion).
The index dropped 6.75 percent for the year due to worries over bank liquidity and the resumption of new share offers.
Five Chinese companies said Tuesday that they had received permission to raise a combined 2.1 billion yuan in initial public offerings (IPOs), ending a year-old official freeze on flotations.
But analysts said the move was expected, since China's stock regulator already announced in late November that IPOs could resume as early as January.
“Investors had digested the negative impact of the IPO resumption, so it's not affecting the Shanghai market,” Zheshang Securities analyst Zhang Yanbing told AFP.
“The rise today was due to easing worries over a liquidity shortage as borrowing rates in the interbank market stabilised,” he said.
Zinc producer Tibet Summit Industrial surged by its 10 percent daily limit to 9.66 yuan while Baotou Steel Rare-Earth rose 2.49 percent to 22.27 yuan.
China Merchants Bank gained 2.74 percent to 10.89 yuan, Ping An Insurance jumped 2.25 percent to 41.73 yuan and Industrial Securities rose 1.72 percent to 9.46 yuan. - AFP