Hong Kong stocks were higher Friday on overnight gains in the
United States markets as a bond insurer's positive outlook helped
ease concerns over the U.S. bond market, which was part of the
sub-prime mortgage fallout.
The benchmark Hang Seng Index moved up 336.18 points, or 1.43
percent, to open at 23,791.92 and turned to move downward into the
negative ground before rebounding to close at 24,123.58, up 667.84
points, or 2.85 percent from the previous closing.
The market's key barometer fluctuated between 24,238.30 and 23,
322.05, showing a session as volatile as most of the recent days.
Turnover totaled 119.45 billion HK dollars (15.31 billion U.S.
dollars), up from Thursday's 110.65 billion HK dollars (14.19
billion U.S. dollars).
The Hong Kong market had found support from narrowing losses
recorded by bourses in the Chinese mainland, analysts said, adding
that the Hang Seng Index was likely to remain volatile between 21,
700 and 25,500 in the short term.
Some of the analysts said market sentiments were changing for
the better with strong outlook in the medium to long term, with
good performance expected in property and coal stocks.
Finance stocks led the market rally Friday, with the finance
sub-index going up 1,288.12 points, or 3.98 percent, at 33,615.20,
gaining the most among the four major categories, namely, finance,
utilities, properties, and commerce and industry.
Heavyweight banking player HSBC Holdings went up 2.6 HK dollars,
or 2.25 percent, to close at 118.2 HK dollars, while its local unit
Hang Seng Bank went down 5.2 HK dollars, or 3.39 percent, at 148 HK
dollars.
ICBC, one of the mainland's major commercial banks, shot up 0.
45 HK dollars, or 9.72 percent, to close at 5.08 HK dollars thanks
to a 60-percent year-on-year growth in its net profit, while China
Construction Bank added 0.46 HK dollars, or 8.53 percent, to close
the session at 5.85 HK dollars.
Bank of China went up 0.09 HK dollars, or 2.84 percent, at 3.26
HK dollars, while its local unit BOC Hong Kong edged up 0.2 HK
dollars at 19.46 HK dollars.
China Life, the mainland-based insurance giant, added 1.5 HK
dollars, or 5.36 percent, at 29.5 HK dollars, while Ping An added
1.6 HK dollars, 2.95 percent, to close at 55.8 HK dollars, despite
reported claims amid snow storms in China.
Coal mining industry conglomerate China Shenhua added 1 HK
dollar, or 2.5 percent, to close at 41 HK dollars while analysts
said the current snow storm may hurt the local coal sector in the
short run but demand should remain strong soon after.
China Mobile, the mainland's giant mobile carrier, gained 3.3 HK
dollars, or 2.89 percent, to close at 117.6 HK dollars while
competitor China Unicom went up 1.02 HK dollars, or 5.67 percent,
at 19 HK dollars.
The commerce and industry sub-index gained 472.99 points, or 3.
39 percent, at 14,408.18, followed by the utilities genre added 1.5
percent at 42,575.08.
The properties sub-index turned out the only loser among the
four major categories, losing 792.81 points, or 2.36 percent, at
32,825.26, partly due to profit taking on the market after a
rebound on the heels of local rate cuts.
Henderson Land, based in Hong Kong, China's southern special
administrative region, lost 2.2 HK dollars, or 3.3 percent, at 64.
5 HK dollars, while Cheung Kong lost 2.3 HK dollars at 123.4 HK
dollars and SHK Properties moved down 5 HK dollars, or 3.28
percent, at 147.5 HK dollars.
(Xinhua News Agency February 2, 2008)
