Around the World's Markets: Hong Kong

THE HANG SENG Index extended recent gains, soaring 3.2 per cent to 10,851, its highest close since late April, with a turnover of HK$8.10bn. Brokers said that strong overseas markets had injected optimism.

HSBC gained a further HK3.50 to HK201 on the back of continued optimism in the banking sector.

Cathay Pacific rose HK0.40 to close at HK8.05, as the Phillipine government blocked its proposed merger with the ailing Phillipine Airlines.