Hong Kong stocks rose, sending the Hang Seng Index (HSI) to its biggest weekly gain in more than three months, as financial stocks advanced and mainland developers increased after the nation's home prices jumped.

Ping An Insurance (Group) Company of China Ltd rose 3.6 percent after its accumulated written premiums for January increased. HSBC Holdings Plc advanced 1.1 percent. China Overseas Land & Investment Ltd advanced 2.4 percent. Zijin Mining Group Co gained 2.6 percent on speculation demand for the precious metal will increase.

The HSI rose 1.3 percent to 23595.24 at the close. For the week, it gained 3.4 percent, the biggest increase since the period ended Nov 5.

Gold producers gained after Wang Lixin, the China representative for the World Gold Council, said Thursday the nation's demand for gold as an investment will grow between 40 percent and 50 percent this year. China's jewelry demand will expand by between 8 percent and 10 percent, he said.

Futures on the HSI climbed 1.3 percent to 23,580.

Bloomberg

(HK Edition 02/19/2011 page3)