Apr. 22, 2008 (China Knowledge) - Hong Kong stocks closed higher on Monday, hitting 11-week closing high, as the central government's measures to restrict the sale of listed-company stock coming out of lockup periods boosted confidence in the stock market.

Hang Seng Index, the benchmark, opened slightly higher at 24,821.00 points in the morning session. After fluctuating between 24,668.28 and 24,887.11 points, the blue-chip Hang Seng Index rallied 523.89 points, or 2.17% to 24,721.67 points. Mainboard turnover totaled HK$81.4 billion (US$10.44 billion), up slightly from HK$78.89 billion on Friday.

Hang Seng China Enterprise Index, which tracks the overall performance of 43 Chinese mainland state-owned enterprises on Hong Kong Stock Exchange, jumped 339.82 points or 2.68% to 13,015.25 points.

Thirty-seven of the total 43 blue chips rallied. Market heavyweight HSBC Holdings Plc<5><HBC> vaulted 1.30% to HK$132.4, contributing 44.88 points alone to the rise of the key blue-chip Hang Seng Index.

The financial stocks were among the biggest winners in the day with the finance sub-index leaping 2.17%. The Industrial and Commercial Bank of China<601398><1398>, the largest lender in the country, gained 1.87% to HK$5.98. Bank of China<601988><3988>, the second-largest bank, added 1.63% to HK$3.75. China Construction Bank<601939><939> ended up 3.08% to HK$6.35.

Ping An Insurance (Group) Co<601318><2318> topped the blue chip gainers' list, soaring 5.1% to HK$62.95 on news that the second-largest insurer in China may change its planned public secondary offering to a private placement to picked banks. Large rival China Life<601628><2628><LFC> stormed 3.65% to HK$29.8 with expectations that insurance companies could benefit from buying non-tradable Chinese shares through private placements. PICC P&C<2328> edged up 2.12% to HK$6.73.

Another market heavyweight China Mobile<941><CHL>, the largest firm in the Hong Kong market by capitalization, soared 2.43% to HK$134.7. The wireless phone giant announced its first-quarter results later on the day. China Unicom<600050><762><CHU> advanced 1.9% to HK$16.7.

PetroChina<601857><857><PTR>, whose Shanghai-traded shares dropped below the IPO price of RMB 16.7, finished 3.06% higher to HK$10.12. Chinese automaker Dongfeng Group<489> rocketed 8.7% to HK$4.25 as it said its 2008 revenue would rise 10%.