* HK->Shanghai Connect daily quota used 7%, Shanghai->HK daily quota used 1%
* HSI +0.5%, HSCE +0.6%, CSI300 +0.6%
* FTSE China A50 +0.5%
Nov 5 (Reuters) - Hong Kong stocks rose for a fourth straight session on Tuesday, helped by hopes of more stimulus to arrest cooling growth on the mainland and the island city and signs of progress in Sino-U.S. trade talks.
** The Hang Seng index rose 0.5%, to 27,683.40, while the China Enterprises Index gained 0.6%, to 10,877.63.
** Both indexes gained for the fourth day in a row.
** China’s central bank cut the interest rate on its one-year medium-term lending facility loans on Tuesday for the first time since early 2016, as policymakers work to prop up a slowing economy hit by weaker demand at home and abroad.
** Analysts said the cut, while modest, may be a sign the central bank is turning more proactive and is looking to ease investor worries that higher inflation will prevent it from delivering fresh stimulus measures.
** The cut came after a private survey showed China’s services sector activity expanded at its slowest pace in eight months in October as new orders slowed and business confidence hit a 15-month low.
** On the island city, business activity in the private sector fell to its weakest in 21 years in October, weighed down by anti-government protests and softening global demand, according to an IHS Markit survey published on Tuesday.
** That could prompt the island’s government to take further stimulative measures to bolster faltering growth.
** Developments in Sino-U.S. trade talks remained in focus, with China pushing U.S. President Donald Trump to remove more tariffs imposed in September as part of a “phase one” U.S.-China trade deal, people familiar with the negotiations said on Monday.
** Global trade barriers must be removed, and countries should uphold basic multilateral trade principles while standing firm against protectionism, Chinese President Xi Jinping said on Tuesday.
** Around the region, MSCI’s Asia ex-Japan stock index was firmer by 0.58%, while Japan’s Nikkei index closed up 1.76%.
** The yuan was quoted at 7.0015 per U.S. dollar at 08:10 GMT, 0.41% firmer than the previous close of 7.0305.
** About 1.75 billion Hang Seng index shares were traded, roughly 123.1% of the market’s 30-day moving average of 1.42 billion shares a day. The volume traded in the previous trading session was 1.78 billion.
** At close, China’s A-shares were trading at a premium of 28.73% over Hong Kong-listed H-shares. (Reporting by the Shanghai Newsroom; Editing by Aditya Soni)
Our Standards: The Thomson Reuters Trust Principles.