Hang Seng index rises nearly 60% in two months to recovery or bubble heap

Panorama May 27, the Hang Seng index since the beginning of March to continue to walk well, today more than eight-month high, the surging rally, there are many people worried about the stock market property has been bubble, the city or has been a spent, but there are optimistic that the economic recovery has quietly come. Hong Kong's Hang Seng index rose 5.26% today, creating a New Year's record.　　The Hang Seng index has risen by 57.65% in less than three months from 11344.58 points in early March to the closing 17885.27, and the Hang Seng Property Index has seen a cumulative increase of nearly 60% since the beginning of March. One view is that Hong Kong's capital markets may be forming a bubble, with the Hong Kong HKMA launching $11 billion worth of HKD in the foreign exchange market in March and April this year.　　Since May, the Hong Kong HKMA has intervened at least 9 days. Nomura strategist Darby says the liquidity must go somewhere. Given the historically low interest rates in local bank deposits, it has prompted an influx of excess capital into investment areas such as property and equities.　　As Hong Kong's economy slumps, the flow of money pouring into Hong Kong from the mainland and elsewhere in the world has boosted Hong Kong's house prices and share prices, and the future withdrawal of these foreign capital may be the moment the stock market bubble bursts.　　But optimists see another picture, with Feng Xiaozhong, head of investment and insurance at Hang Seng Bank in Hong Kong, who believes dollar investments that have long flowed overseas may now be returning to Hong Kong, as Western markets remain sluggish. In addition, there are indications that Hong Kong's economy may be on a path of recovery, and one of the key indicators is that the decline in Hong Kong's export sector has shown signs of bottoming out.　　Trade is an important pillar of Hong Kong's economy.　　The Federation of Hong Kong Industries said in Wednesday that a recent survey of 100 Hong Kong manufacturers in the mainland showed that most companies had increased orders, recovering from the recent downturn. Earlier, data from Tuesday showed that the decline in Hong Kong's export shipments could be bottoming out.　　Exports fell by 18.2% in April from a year earlier, down from 21.1% per cent in March. These figures have further boosted optimism in the stock market, boosting the share price. (Panorama net/Zhou Bei)