China, HK shares gain on upbeat results; ChiNext soars

* China, Hong Kong cheer upbeat corporate results

* ICBC, Bank of China rebound on profit jump

* ChiNext board soars on debut
(Updates to close)

By Jun Ebias and Claire Zhang
HONG KONG/SHANGHAI, Oct 30 (Reuters) - Shares in Hong Kong
and Shanghai bounced on Friday as solid earnings from top Chinese
lenders pushed banks up, while China's remark about sticking to
its loose monetary policy lifted overall sentiment.

The ChiNext market <0#CHINEXT.SZ>, China's long-awaited
Nasdaq-style second board, debuted on Friday with a speculative
surge that more than doubled the price of all of its 28 stocks
from their IPO prices in intraday trade -- a good sign for
companies lining up to list on China's main stock markets.
[ID:nSHA43023]

Central bank governor Zhou Xiaochuan said on Friday that
China would stick to an appropriately loose monetary policy,
reaffirming Beijing's commitment to easier rates as speculation
mounts about an eventual policy shift. [ID:nBJC002379]

China's key stock index rose 1.2 percent on Friday and posted
a 7.8 percent gain for October, boosted by solid earnings and an
upbeat economic outlook.

The benchmark Hang Seng Index .HSI rose 2.29 percent, its
biggest one-day gain in six weeks, or 487.88 points to 21,752,87.
Turnover was HK$76.35 billion ($9.9 billion), down from
Thursday's HK$80.81 billion, the highest since Sept. 17.

For the week, the index was down 3.7 percent, its biggest
weekly drop sine June, but for the month the index was up 3.8
percent, its second monthly gain.

Friday's rally may be short-lived as caution would likely
rule the market next week, with investors eyeing the Federal
Reserve's Open Market Committee meeting, analysts said.

"After a sharp rebound today, there are no more
bargain-hunting opportunities, so the market will just be stable
next week," said Marco Mak, research head at Taifook Securities.
"The market will pay more attention to the FOMC meeting and
whether we will see a continuation of the easy monetary policy or
not. That will be the focus."

Industrial & Commercial Bank of China (ICBC) (1398.HK)
advanced 3.45 percent, while Bank of China (3988.HK) gained 5.77
percent, after both reported a jump in quarterly profit.
[ID:nPEK304345] [ID:nHKG6957]

In Shanghai, ICBC (601398.SS) gained 2.22 percent to 5.06
yuan, while Bank of China (601988.SS) rose 2.27 percent to 4.06
yuan. Merchants Bank (600036.SS) jumped 4.16 percent to 17.77
yuan ahead of its earnings report.

Henderson Land (0012.HK) led Hong Kong developers higher,
gaining 7.51 percent. The company said it planned to pay a HK$9.6
billion ($1.24 billion) land premium, in a bid to boost its
residential land reserve. [ID:nHKG7346]

Other local developers, which have fallen in recent sessions
on concerns Hong Kong may impose more measures to curb fast
rising property prices, also rebounded. Sun Hung Kai Property
(0016.HK) was up 6.40 percent.

The China Enterprise Index .HSCE of top locally listed
mainland Chinese stocks rose 2.43 percent to 12,769.36.

Brilliance China Automotive (1114.HK) rose 12.4 percent,
after a strong 8.53 percent open. The Chinese minibus
manufacturer and a joint venture partner of BMW said it would
sell its loss making-Zhonghua sedan brand business.

China Resources Enterprise Holdings (0291.HK) soared 8.62
percent as it focused on the rapidly growing mainland consumer
market. [ID:nHKG728]

CNOOC Ltd (0883.HK) (CEO.N) was up 4.52 percent. China's top
offshore oil and gas producer said it produced 18.4 percent more
oil and gas in the third quarter. [ID:nHKG324730]

Tsingtao Brewery (0168.HK) (600600.SS) was up 3.57 percent.
China's best known beer brand said that its net profit jumped 93
percent in the third quarter. [ID:nHKG264504]

After opening firm at HK$2.18, Comtec Solar 0712,HK, the
China-based solar ingots and wafer maker, fizzled out on its
debut. The stock ended HK$1.98, versus its IPO price of HK$2.10.

SHANGHAI GAINS

The Shanghai Composite Index .SSEC ended at 2,995.848
points, after falling to its lowest close in more than two weeks
on Thursday.

Gaining Shanghai A shares outnumbered losers by 727 to 151,
while turnover was 117 billion yuan, unchanged from Thursday.

"The start-up shares' performance thoroughly exceeded
expectations and is drawing a lot of attention, but given the
higher risks with start-ups, more people prefer to focus on
main-board shares with stable profits," said Xu Yinhui, senior
analyst at Guotai Junan Securities in Shanghai.

"The index may fluctuate around the key 3,000 point level in
the short term, but its outlook for the next three months remains
positive with expectations for improving economic data and
corporate earnings in the fourth quarter," he added.

The main index and ChiNext retreated from the day's highs.
Investors will be keeping an eye on Chinext next week since it
would likely impact on the main board, analysts said.

Steel shares were higher, with China's Baoshan Iron and Steel
(600019.SS), the world's third-largest steelmaker, advancing 1.33
percent to 6.84 yuan. The company posted a 6.7 percent rise in
quarterly net profit. [ID:nSHA267483]
(Editing by Chris Lewis)