* HSI +0.1 pct, H-shares +0.5 pct, CSI300 -0.6 pct
* China airlines rebound in Hong Kong after Friday drop
* China property weak after more reported Beijing curbs
* Prada falls after 2012 earnings disappointment
By Clement Tan
HONG KONG, April 8 China share markets reopened
after a holiday break on a lackluster note on Monday, as bird
flu worries hit tourism-related stocks and property ones lost
ground on more sales curbs.
The Hong Kong market rebounded mildly after benchmark
indexes had ended last week at their lowest since Nov. 28, with
Chinese banking and energy majors helping recover some of
At midday, the CSI300 of the leading Shanghai and
Shenzhen listings was down 0.6 percent while the Shanghai
Composite Index fell 0.7 percent.
Both had opened at their lowest since Christmas, down more
than 2 percent before moving off the day's lows. The mainland
markets were closed Thursday and Friday for holidays.
The Hang Seng Index inched up 0.1 percent. The China
Enterprises Index gained 0.5 percent to 10,477.2, with
gains capped by chart resistance at its 200-day moving average -
a technical level it closed below for the first time since
mid-November on Friday.
"People are still very cautious today after the big dip in
Hong Kong on Friday," said Jackson Wong, vice-president for
equity sales at Tanrich Securities. "It will be interesting to
see what China data will do to lift the market from tomorrow."
Beijing is due to start releasing a slew of monthly and
quarterly economic data, starting with March inflation data on
April 9 and trade on April 10 with money supply expected between
April 10 and 15.
First quarter GDP growth data is due on April 15 along with
industrial output, retail sales and urban investment data for
March. Data last Wednesday showed growth in China's services
sector rose to multi-month highs in March.
On Monday, China airline stocks listed in the mainland fell
on fears of diminished demand for air travel if the bird flu
outbreak turns into a pandemic. Air China, down more
than 7 percent at one point, went into the midday break off 3.4
Air China's Hong Kong listing rebounded 5.1
percent after Credit Suisse lifted its view of the Asian airline
sector to overweight, following a price tumble on Friday the
brokerage saw as a buying opportunity.
That day, Air China had suffered its worst single-day loss
in nearly four years in Hong Kong, plunging almost 10 percent.
Bird flu jitters were also cited for lackluster secondary
housing market sales in Hong Kong over the weekend, broadly
hurting the share prices of local property developers. New World
Development shed 1.4 percent.
Chinese property developers were also on the defensive in
the mainland after official media reported on Monday that
Beijing is likely to raise down-payment requirements for buyers
taking commercial loans to purchase second homes to 70 percent.
China Vanke fell 1.8 percent in Shenzhen, while
Poly Real Estate shed 2 percent in Shanghai.
Shares of Italian fashion house Prada SpA tumbled
4.7 percent after its 2012 core earnings and margins
disappointed despite a boost to margins through a reduced
discount sales period and better distribution control.
Traders said some investors rotated into its footwear sector
rival, China's Belle International, and drove its
shares up 4.1 percent from Friday's nine-month low.