China H shares advance due to factory data

Chinese stocks in Hong Kong gained the most since Oct 24 after two manufacturing readings jumped to two-year highs, boosting the outlook for the world's second-biggest economy.

The Hang Seng China Enterprises Index closed 1.5 percent higher. China Shenhua Energy Co rallied the most in eight months, as the improving economic picture bolstered the outlook for commodity prices. Sands China Ltd led gains by casino operators, after Macao gambling revenue climbed to the highest level in almost two years. COFCO Meat Holdings Ltd tumbled in its trading debut. The Shanghai Composite Index added 0.7 percent.

The factory data lifted shares in Hong Kong a day after the city's benchmark stock index capped its worst monthly loss since February. The Hang Seng Index declined 1.6 percent in October as mainland flows into the city through an exchange link with Shanghai dried up and investors boosted bets on higher US borrowing costs.