Shares in Hong Kong rose 71 points or 0.3% to 26,917 on Wednesday morning deals, up for the fourth straight session amid gains mainly from consumers. Risk appetite continued to be supported by AI progress in China, underpinned by rising capital spending, improving model performance, and supportive policy signals. Meanwhile, the city’s IPO market is also expected to remain robust in 2026, sustaining its global leadership from last year. Still, sentiment was hit by a dip in U.S. futures following losses on Wall Street overnight, as December inflation data failed to alter expectations that the Fed will pause rate cuts. Meantime, China has threatened to retaliate against Trump after the U.S. said it would impose 25% tariffs on countries that trade with Iran. Caution also lingered ahead of China’s December trade data, with markets bracing for softer exports and imports. Early movers included Nongfu Spring (6.4%), Kuaishou Tech (4.3%), Hansoh Pharma (3.2%), and Chow Tai Fook (1.9%).