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  • Roundup: HK Shares tighten loss, led by bourse operator
    Date: 11-Sep-2007 Sources: (People's Daily)

    Gains on the Shanghai bourse and flush liquidity offset the effects of a Wall Street decline Monday to send Hong Kong's benchmark index slightly higher, while the bourse operator Hong Kong Exchanges and Clearing outperformed on news the Hong Kong government had raised its stake.

    The blue-chip Hang Seng Index rose 17.09 points, or 0.07 percent, to 23,999.70 after trading between 23,578.11 and 24,123. 66 during the session. The benchmark index gradually tightened its loss after a 399-percent lower opening, with the total turnover of 101.51 billion HK dollars.

    Three of the four major categories lost ground, with the Utilities falling by 0.89 percent, the Commerce and Industry by 0. 57 percent, and the Properties by 0.48 percent. The Finance, the only winner, rose 0.83 percent.

    Local bourse operator Hong Kong Exchanges and Clearing rose 20 percent to a record close of 190.10 HK dollars after the Hong Kong government raised its stake in the company to 5.88 percent Friday, making it the biggest shareholder.

    UBS raised the city's stock and futures market operator to buy from neutral, and raised its price target to 192.00 HK dollars. The brokerage said the Hong Kong government is likely to further increase its stake, and the move is likely a preparation for future integration and alliances with mainland exchanges.

    China Mobile, the country's largest mobile phone operator, rose 0.99 percent to 102.00 HK dollars.

    HSBC, the market's second largest stock measured by capitalization, fell 0.79 percent to 138.1 HK dollars.

    On the Chinese mainland's banks stocks side, CCB, ICBC and Bank of China slid 0.39 percent to 1.52 percent.

    The three insurers China Life, Ping An and PICC P&C trimmed 0. 21 percent to 1.07 percent.

    Infrastructure company China Communications Construction rose 2. 8 percent to 18.16 HK dollars, after its first-half net profit made a 153.7 percent increase.


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