Hong Kong HSI up 1.25% at 17,635 points (Il Sole 24 Ore Radiocor) - Hong Kong , 22 Jul - Hong Kong share prices erased earlier losses and closed higher, rebounding from Friday's sharp drop amid weak Asian markets as investors digested a surprise rate cut by China's central bank. The Hang Seng index closed up 1.25% at 17,635 points.

The People's Bank of China unexpectedly slashed short-term rates by 10 basis points, sending long-term borrowing costs and bond yields lower.

The central bank cut the seven-day reverse repo rate to 1.7% from 1.8%, aiming to strengthen counter-cyclical adjustments to better support the real economy, the official Xinhua news agency reported citing a statement from the central bank.

On Sunday Beijing's released a policy document outlining its ambitions for the economy.

Investors also digested news that US president Joe Biden had dropped out of the presidential race and endorsed vice president Kamala Harris as the Democratic nominee.

In Hong Kong stock market dealings technology shares rallied, rebounding from a recent selloff.

The Hang Seng Tech Index closed up 2.10%.

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(RADIOCOR) 22-07-24 12:23:11 (0275) 5 NNNN