Shares of Hong Kong Exchanges and Clearing (HKEX) soared by 16.25% on Tuesday, driven by a surge in buying interest from mainland Chinese investors ahead of the National Day holiday in China.

According to reports, mainland traders ramped up their purchases of Hong Kong stocks in the lead-up to the week-long National Day break, with HKEX being one of the top targets. On Monday, mainland investors bought a net HK$12.1 billion (US$1.54 billion) worth of Hong Kong shares, marking the biggest single-day total in more than half a year.

The buying frenzy continued on Tuesday, with traders from the north piling into HKEX shares. Analysts believe the increased buying activity is related to positioning ahead of the holiday period, as mainland investors have already purchased $64 billion of Hong Kong stocks so far this year, surpassing the total of $42 billion in 2023.