June 15, 2012 (Chinavestor) Investors turned bullish in Asia on Friday after central banks globally announced contingency plans should Greek voters reject the euro. The Hang Seng Index (INDEXHANGSENG:.HSI) surged as much as 425.5 points or 2.2% on Friday capping weekly gains of over 731 points or 3.95%. Energy, financial and commodity stocks led the advance. Mainland Chinese listings did best in Hong Kong where all but two components of the Xinhua 25 Index rose. This bodes well for the iShares FTSE/Xinhua China 25 Index (NYSE:FXI), the most liquid Chinese ETF trading in the US.
Stocks rose modestly in Shanghai as well. The Shanghai Composite Index (SHA:000001) advanced 10.9 points or 0.5% in a broad rally. Stocks that advanced outnumbered those that fell eight to one among the 50 largest components of the broad index. Financials stocks rose the most as investors are awaiting another easing on fiscal policy. The Central Bank of China cut benchmark rates and reserve ratios this year, effective June 8, but more such measures are expected to come.