Hong Kong markets witnessed a remarkable surge on Monday, with the Hang Seng Index soaring 1.6% to reach a 32-month high. The rally was fueled by optimism surrounding China's economic prospects and growing confidence from Wall Street's heavyweight banks in Chinese equities.

Semiconductor Manufacturing International Corporation (SMIC), China's largest chipmaker, emerged as a standout performer, with its shares skyrocketing by an astonishing 27.42%. The semiconductor sector's strength was driven by several factors, including reduced inventory levels and positive outlooks from institutions amidst expectations of a broader economic recovery.

Investors were buoyed by anticipation of further economic stimulus measures from Beijing, including a potential 3 trillion yuan consumption support package, as predicted by Citigroup's Pierre Lau. Major banks like Citigroup and Goldman Sachs raised their targets for key Chinese stock benchmarks, citing "coordinated and forceful" policy announcements aimed at curtailing downside growth risks. All eyes are now on the National Development and Reform Commission's press conference scheduled for Tuesday, where additional growth-boosting measures are expected to be unveiled.