The Hang Seng Index rose 82 points, or 0.3%, to 25,995 on Friday, recovering from morning losses as bargain hunting returned in technology and semiconductor stocks, helping offset early caution driven by geopolitical concerns. Sentiment improved during the session as AI-related optimism gained traction, with DeepSeek’s latest model performance reinforcing confidence in China’s progress in artificial intelligence and supporting expectations of rising demand for domestic computing hardware. In Hong Kong, Huahong Semiconductor and SMIC recorded strong gains, rising 13% and 9% respectively, reflecting heightened interest in chipmakers. The turnaround helped stabilize the market after a weak start, with tech and chip-related strength providing the main support despite ongoing unease over Middle East tensions and their potential impact on global risk appetite and energy prices. Among other notable movers were Lenovo Group (3.95%), Xiaomi (0.2%), and Guoxia Technology (31.3%).