HONG KONG -- Chinese markets surged on Thursday after a senior official spoke of a "new situation" that suggested the country might soften its strict zero-COVID policy, following the relaxation of some measures in a city battling thousands of infections.

Mainland indexes opened higher on Thursday morning. The CSI300 climbed 1.78%, and the SZSE Component Index and the SSE Composite Index traded 1.66% and 1.04% higher.