Hong Kong shares extended gains on Wednesday, buoyed by China's recent stimulus measures to bolster its economy

The Hang Seng Index rose 0.68%, or 128.54 points, to close Wednesday's session at 19,129.10. The Hang Seng China Enterprises Index rose by 0.76%, or 51.13 points, to close at 6,765.60.

The Chinese government's aggressive efforts to stimulate consumer spending and stabilize the equity market have significantly lifted investor sentiment.

The People's Bank of China (PBOC) has lowered interest rates on several key lending facilities, including the one-year medium-term lending facility (MLF) and existing home loans. Additionally, the PBOC has expanded its medium-term lending facility operations to maintain liquidity in the financial system.

At home, Hong Kong's export sector also showed signs of resilience, with the export performance index increasing by 1 point to 52.6 during the third quarter.

The export expectation index slowed by 2.9 points to 51.4, while the trade value expectation sub-index fell 8.5 points to 51.7. For 2024, export growth is forecast to grow between 9% and 11% due to a higher base recorded in Q4 2023, according to the Hong Kong Trade Development Council.

In corporate news, a consortium led by a China Energy Engineering (HKG:3996, SHA:601868) unit secured the bid for Zhuhai Jinwan Yacht Industrial Park's development project for 15.1 billion yuan. The company's shares closed nearly 9% higher on Wednesday.

Elsewhere, the joint venture between Zhejiang Leapmotor Technology (HKG:9863) and Stellantis will begin taking orders for its budget new energy vehicles soon. Leapmotor's shares rose by nearly 7% on Wednesday.

BeijingWest Industries International (HKG:2339) is looking to raise HK$48.2 million from a one-for-two rights issue. The automotive parts manufacturer will raise the capital by issuing up to 287,169,534 rights shares to qualifying shareholders at HK$0.168 apiece. The company's shares closed over 2% higher.