Hong Kong equities rally driven by internet stocks

Hong Kong equities notched their best daily gains in three months as short sellers closed out bets against Chinese internet groups and some investors snapped up shares on hopes that a protracted sell-off for China stocks was overdone.

The sudden upswing for the Hang Seng index took it 4 per cent higher on Friday. That marked the best day for the Hong Kong stock gauge since early March and followed weeks of selling that nearly pushed the benchmark 20 per cent lower from its January peak and into a bear market.