Hong Kong stocks soared Tuesday as tech shares rallied, led by renewed enthusiasm for artificial intelligence.

The Hang Seng Index rose by around 640.14 points, or roughly 2.5%, to end at 26,038.32, while the Hang Seng China Enterprises Index increased by 255. points, or around 3%, to close at 8,762.97.

The Hang Seng TECH Index similarly jumped 234.36 points, or 4.7%, to 5,199.28.

Markets continued to follow updates in the Middle East which is yet to see a breakthrough between the U.S. and Iran and were balancing renewed geopolitical risks against continued enthusiasm for artificial intelligence-driven growth and technology investment, Reuters reported, citing Robert Savage, head of markets macro strategy at BNY.

In corporate news, Fitch Ratings affirmed Yuexiu Property's (HKG:0123) long-term foreign-currency issuer default rating at BBB- and maintained a stable outlook

Fitch attributed the affirmation to Yuexiu Property's stable market position and positive operating cash flow, despite a decline in contracted sales amid China's property market downturn.