Around the World's Markets: Hong Kong

THE Hang Seng closed 27.1 points higher at 10,722.7 after soaring more than 200 points in early afternoon amid expectations of a half-point cut in local savings rates. Leading banks later announced a quarter-point cut in prime rates, leaving the prime lending rate at 8.75 per cent.

Traders were cautious on the immediate outlook, although the market rallied through most of last week, gaining more than 900 points since Monday.