China, HK shares rise on rate views, Greece debt plan
Sunday, 28 March 2010
HONG KONG/SHANGHAI, Mar 27 (Reuters): Shares in Hong Kong and China rose Friday, spurred by views that Beijing could delay its rate rise, while the move by the IMF and European nations to help Greece out of its debt woes further lifted buying interest.
China's key stock index closed 1.34 per cent higher, led by new small-cap shares, as sentiment was lifted by the central bank chief's reported comments, interpreted as meaning a rate rise could be months away.
Hong Kong's benchmark Hang Seng Index ended up 1.3 per cent at 21,053, rebounding from a three-week low Thursday. For the week, the index shed 1.5 per cent, snapping four straight weeks of gains.
Turnover rose to HK$60.3 billion ($8 billion), the highest in over a week, from Thursday's HK$55.4 billion.
"We are very close to the quarter-end, so there is bound to be some window dressing activity," said Ben Kwong, chief operating officer at KGI Asia. "There is no further negative news about the Greek debt problem, that's why Hong Kong is following the strength of the Chinese stock market."
The China Enterprise Index of top locally listed mainland Chinese stocks rose 1.2 per cent.
Oil issues rose along with crude CLc1 prices. CNOOC rose 2.3 per cent and Sinopec added 2.4 per cent.
PetroChina narrowed losses and ended down 0.8 per cent. The stock was down as much as 2.7 per cent to its lowest in a month after a disappointing quarterly result, prompting some brokers to put a "sell" recommendation on the company.
Index heavyweight HSBC advanced 2.3 per cent, getting a lift from news that the euro zone leaders and the IMF agreed to help Greece out of its debt woes.Market debutante Zhongsheng Holdings, an auto dealer in China, was up 7.2 per cent, the second company to post gains on its first trading day in Hong Kong this week after Huiyin Appliances' 57 per cent rise Thursday.
The Shanghai Composite Index ended the day up 1.3 per cent at 3,059.715 points, after moving in a narrow range well inside the 125-day and 250-day moving averages, which are now at 3,098 and 2,961 points, respectively. The index has rarely strayed outside that range in the past two months.
The index posted a 0.3 per cent loss for the week, falling for three of the last four weeks.
China's key stock index closed 1.34 per cent higher, led by new small-cap shares, as sentiment was lifted by the central bank chief's reported comments, interpreted as meaning a rate rise could be months away.
Hong Kong's benchmark Hang Seng Index ended up 1.3 per cent at 21,053, rebounding from a three-week low Thursday. For the week, the index shed 1.5 per cent, snapping four straight weeks of gains.
Turnover rose to HK$60.3 billion ($8 billion), the highest in over a week, from Thursday's HK$55.4 billion.
"We are very close to the quarter-end, so there is bound to be some window dressing activity," said Ben Kwong, chief operating officer at KGI Asia. "There is no further negative news about the Greek debt problem, that's why Hong Kong is following the strength of the Chinese stock market."
The China Enterprise Index of top locally listed mainland Chinese stocks rose 1.2 per cent.
Oil issues rose along with crude CLc1 prices. CNOOC rose 2.3 per cent and Sinopec added 2.4 per cent.
PetroChina narrowed losses and ended down 0.8 per cent. The stock was down as much as 2.7 per cent to its lowest in a month after a disappointing quarterly result, prompting some brokers to put a "sell" recommendation on the company.
Index heavyweight HSBC advanced 2.3 per cent, getting a lift from news that the euro zone leaders and the IMF agreed to help Greece out of its debt woes.Market debutante Zhongsheng Holdings, an auto dealer in China, was up 7.2 per cent, the second company to post gains on its first trading day in Hong Kong this week after Huiyin Appliances' 57 per cent rise Thursday.
The Shanghai Composite Index ended the day up 1.3 per cent at 3,059.715 points, after moving in a narrow range well inside the 125-day and 250-day moving averages, which are now at 3,098 and 2,961 points, respectively. The index has rarely strayed outside that range in the past two months.
The index posted a 0.3 per cent loss for the week, falling for three of the last four weeks.