Asian equities put in a strong showing as investors looked to buy back into some of the sectors of the market that had been sold off in recent sessions.
Stocks in Hong Kong rebounded from the previous session’s three-month lows, led by carmakers and property stocks. Both sectors had been hit on Tuesday following China’s decision to lift its interest rates to stave off inflation.
Carmakers in the region had come under further pressure after Beijing announced that it was to reduce by two-thirds the number of vehicle licences it issues in 2011 in an attempt to ease traffic problems in the city – widely regarded as the most congested in the world.
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