Hong Kong stocks closed higher on Tuesday. The Hang Seng Index down slightly, the Hang Seng Technology Index rose 1.39% after an initial decline of more than 2%.

Citigroup Inc. strategists upgraded China to overweight, saying that US exceptionalism is at least on pause.

While the S&P 500 has lost 4.5% so far this year, a gauge of Chinese stocks listed in Hong Kong has surged 20%, making it one of the best-performing indexes in 2025.

Guming up 21.7%; Leapmotor, Mao Geping Cosmetics, Laopu Gold up around 13%; NIO, XPeng up around 10%; Mixue Group up 7%; Kuaishou up 5%; Xiaomi up 2%; Tencent up slightly, Alibaba down slightly.

MAO GEPING stock closed at a new record high of HKD104.3 as the Shenzhen Stock Exchange added the company to the southbound Stock Connect. The Hangzhou-based company was founded by make-up artist Mao Geping in 2000. Mao sought to promote Chinese make-up artistry and aesthetics globally. The brand’s products often depict designs that mimic classical Chinese paintings.

China’s largest bubble tea chain Mixue jumped to a new record high of HK$420.6. Soochow Securities starts Mixue Group at buy with HK$509 price target. Last Monday, the bubble tea chain's shares jumped by more than 40% in their Hong Kong Stock Exchange debut. The company raised $444m (£352m) in the financial hub's biggest initial public offering (IPO) of the year.

Hong Kong shares of Chinese EV maker XPeng jump 9% as Xpeng sees humanoid robots as a long-term project and is considering large investments that could go up to 100 bln yuan ($13.80 bln), state-media Securities Times reported on Monday citing its CEO as saying