China’s stocks rallied, sending the benchmark index to its biggest gain in four months, amid speculation the government is loosening funding restrictions for property developers and banks to support economic growth.
Most Hong Kong stocks fell as rising China home prices dimmed prospects for easing of property curbs, outweighing comments by Federal Reserve Chairman Ben S. Bernanke that the U.S. is not on a preset course to taper stimulus.
Asian stocks weakened after minutes of a Federal Reserve meeting signaled bond purchases may be cut sooner than expected, erasing earlier gains made after China outlined its broadest economic reforms since the 1990s.
Hong Kong stocks retreated from a seven-week high with China Construction Bank Corp. leading the decline as Singapore’s sovereign wealth fund sold $2.4 billion of mainland lenders’ shares. Stocks also fell as unemployment in Europe climbed to a 15-year high.