HK stocks seen higher; focus on AgBank, China GDP
HONG KONG, July 9 (Reuters) - Hong Kong stocks are set to rise on Friday after Wall Street rallied for a third day on upbeat economic data and retail sales.
Hong Kong's Hang Seng Index .HSI has alternated between gains and losses in choppy thin volume but is on course to end the week higher after the 3.8 percent dip last week.
With books closing on Agricultural Bank of China's [ABC.UL] mammoth initial public offering, the focus is shifting to its trading debut next week which will coincide with China's GDP data and JP Morgan Chase's (JPM.N) quarterly earnings report in the United States, all expected on Thursday.
China's second-quarter GDP is likely to show moderating growth, although expansion could still be in double digits, helping to allay some of the fears of a hard landing and prompting money that has stayed on the sidelines to return to Chinese shares. [ID:nTOE66602P] [ID:nTOE66601Z]
"I would expect volatility to increase moving into next week, especially given the market's susceptibility to move on whisper numbers, evidenced by PMI last week," said the regional head of sales trading at a large European bank.
The Hang Seng index ended up 1 percent higher on Thursday at 20,050.56, with HSBC (0005.HK) and Standard Chartered (2888.HK) leading banks higher. The China Enterprises Index .HSCE, which fell over 5 percent last week, closed 0.6 percent higher on Thursday.
In the region, Japan's Nikkei .N225 was 0.1 percent lower while South Korea's KOSPI .KS11 rose 0.5 percent led by technology shares, as of 0110 GMT.
STOCKS TO WATCH:
- China Resources Power Holdings (0836.HK) said late on Thursday that its chairman Song Lin had resigned and that its board has appointed Wang Shuai Ting to take his place. For statement, please click: here
- Guotai Junan International Holdings (1788.HK), the global arm of one of China's top brokerages, will explore a European expansion and foreign exchange trading as it seeks new growth areas this year, its chief executive told Reuters in an interview on Thursday. [ID:nTOE667073].
- Google Inc (GOOG.O) chief executive Eric Schmidt said on Thursday he is confident the company will secure a license to operate a website in China, amid speculation Beijing will reject its application. [ID:nN08260404].
- Securities and Futures Commission chief executive Martin Wheatley expects Hong Kong's first yuan investment products to be launched this year, moving the city a step closer to its goal of becoming an international offshore yuan trading centre, the South China Morning Post said on Friday.
- Dongyue Group (0189.HK), which makes refrigerants and polymers, said it expects its unaudited consolidated profit for the first half to more than triple from the same period a year ago due to higher selling prices and sales. For statement, click: here MARKET SUMMARY *Wall St rises 3rd day on data, retail sales [nN08238477] *Oil above $75 on US crude stock drop, jobless data [nN08234511] *Risk appetite pushes euro to 2-mo high vs dollar [nN08236750] *Treasuries fall as stocks rise on stronger data [nN08576205] (Reporting by Vikram S Subhedar, Editing by Jacqueline Wong)
- Tweet this
- Share this
- Digg this