Hong Kong stocks hit new high
Hong Kong stocks jumped 379.21 points to close above 22,500 mark Friday, a new 14-month high boosted by optimistic economic reports from major companies in the U.S. and the Chinese mainland.
The Hang Seng Index opened higher on Friday, and widened their gains later before finishing the day up 1.71 percent at 22,589.73.Turnover rose to 76.00 billion HK dollars (about 9.82 billion U.S. dollars) from Thursday’s 69.95 billion HK dollars (about 9.04 billion U.S. dollars).
Analysts said continued strength in the city’s benchmark index will hinge on corporate earnings. They said the market needs some consolidation, and awaits more positive corporate earnings reports to support further valuation upgrades.
It was reported Chinese companies that will release earnings next week include China Life Insurance, Chalco, PetroChina, Sinopec and Bank of China.
China Enterprises Index edged up 356.09 points, or 2.75 percent, to close at 13,316.02 Friday. It has more than doubled its value since a low for the year on March 2.
Three of the four major stock categories gained ground. The finance sub-index rose the most at 1.69 percent. The utilities went up 0.41 percent, the commerce and industry rose 1.69 percent, while the properties dropped 0.91 percent.
Among Friday’s biggest gainers, China Life soared 5.74 percent, Ping An jumped 5.49 percent.
The mainland banking shares rose, with the Bank of Communications leading the gains with a surge of 4.55 percent to close at 10.58 HK dollars. ICBC gained 2.84 percent, Bank of China gained 1.75 percent, and China Construction Bank, 1.73 percent.
The oil shares were also gainers. PetroChina gained 3.56 percent, Sinopec edged up 2.53 percent and offshore oil producer CNOOC gained the most at 5.39 percent.
Banking giant and market heavyweight HSBC gained 1.63 percent to close at 90.35 HK dollars, and its local unit Hang Seng Bank edged up 0.91 percent. China Mobile was up 0.66 percent at 76.80 HK dollars.
As for local developers, Cheung Kong, the flagship of Hong Kong’s richest man Li Ka-shing, was down 0.75 percent. Henderson Land fell 3.5 percent and Sun Hung Kai Properties dropped 0.8 percent. (7.742 HK dollars = 1 U.S. dollar)
Tags: China Finance, china stock, HK