Sentiment among small- and medium-sized enterprises in Hong Kong rose last month to the highest level since June, signaling that the crucial Christmas shopping season brought some stabilization for a sector hit hard by violent protests stemming from the extradition bill incident. 

The Lunar New Year holidays later this month provide another chance for festivities to boost consumption

The reading for the retail trade also rose above 40, according to Hong Kong’s Census and Statistics Department. 

READ MORE: Further decline in HK retail sales predicted

Though the data still indicate overall negative conditions, the Lunar New Year holidays later this month provide another chance for festivities to boost consumption.

Hong Kong's retail sales have recorded double-digit declines for five straight months since July. The value of total retail sales in November was estimated at HK$30 billion, down 23.6 percent from a year ago and slightly narrowed from a record 24.4-percent drop seen in October.

For the first 11 months of 2019 combined, total retail sales decreased by 10.3 percent compared with the same period in 2018.

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