Reuters Published April 21, 2026 Updated about 2 hours ago SHANGHAI: China stocks rose to one-month highs on Monday, while Hong Kong shares also gained, recouping losses recorded since the outbreak of the Iran war on February 28, as signs of China’s economic resilience and fresh market-friendly policies lifted sentiment. Regional markets also rebounded, but with uncertainty lingering around US-Iran talks, some caution that markets may be too complacent. The blue-chip CSI300 Index rose 0.6 percent and the Shanghai Composite Index gained 0.8 percent, both hitting one-month highs. Shenzhen’s Chinext Composite Index flirted with record highs. Hong Kong’s Hang Seng advanced 0.8 percent, joining a rally in Asian markets. Investors remain optimistic toward a US-Iran deal, even as concerns grew on Monday that the ceasefire might not hold after the US said it had seized an Iranian cargo ship that tried to run its blockade and Iran vowed to retaliate. “Because the market has become more confident in resolution, developments that are large enough to shake that confidence are likely also to have meaningful market impact,” Goldman Sachs said, cautioning against downside tail risks. Orient Securities pointed to investment opportunities…