Hong Kong stocks rose 128 points or 0.5% to 25,670 in early trade on Thursday, marking the fifth session of gains and holding at their highest level in nearly four years.
The advance followed record closes on Wall Street, fueled by a trade agreement between the U.S. and Japan.
Sentiment was also lifted by news that the EU and U.S. are nearing a trade deal involving 15% tariffs on European imports, with exemptions for select goods.
Optimism continued ahead of a planned meeting between U.S. and Chinese officials in Stockholm next week to discuss extending the current tariff truce.
Additionally, reports that President Trump may visit China in the near future to address trade and security issues added to the positive tone.
In mainland China, daily stock turnover climbed to near five-month highs.
However, further gains were capped by caution ahead of upcoming Chinese industrial profit data.
Leading gainers included Akeso Inc. (4.7%), CK Hutchison (2.8%), SMIC (2.4%), and Citic Ltd. (2.2%).