Hong Kong stocks rose a mild 0.2 percent on Wednesday as property stocks firmed after a forecast-beating land auction and large cap market darlings such as China Mobile boosted the blue chip index.
China's largest cellular provider, China Mobile (Hong Kong) Ltd, rose 1.08 percent to HK$37.35 on investor enthusiasm for China telecom and consumer plays.
China PC maker Lenovo Group Ltd was also a top gainer, up 1.4 percent to HK$3.60 after it said it expects to expand its share of China's fiercely competitive PC market to 35 percent by the end of the year. China Mobile and Lenovo Group are the top two performing Hong Kong blue chip stocks so far this year.
The blue chip Hang Seng Index ended 31.58 points higher at 15,221.46. Volume was in line with recent averages with HK$17.3 billion ($2.21 billion) worth of shares exchanged. Property shares were largely higher after a forecast-beating government land auction on Tuesday.
Sino Land Co Ltd which bought two of the three plots on offer at Tuesday's auction, rose 1.09 percent to HK$9.30.
Sun Hung Kai properties Ltd, which bought the third plot near the city's old airport, fell 0.3 percent to HK$80.10.
Mid tier-developer Hang Lung Properties Ltd was among the top performing property developer shares, up 1.2 percent to HK$12.35. Brokers said firms with property near to the sites sold, such as Hang Lung, would likely be the earliest beneficiaries of high prices paid.
Sourcing and trading firm Li & Fung Ltd was among the most actively traded counter, falling 1.96 percent to HK$17.50 after investors in the firm sold $116.7 million worth of existing shares in the company at a discount of up to 3.64 percent, or HK$17.25.
Asia's largest listed bourse, Hong Kong Clearing and Exchanges Ltd (HKEx), surged for a second straight day.
HKEx rose 3.8 percent to HK$27.10 on expectations of massive fund raising in the fourth quarter, led by next month's planned $7.7 billion float by China Construction Bank
Mobile phone handset maker Foxconn International Holdings Ltd, the mobile handset arm of Taiwan's Hon Hai Precision Industry Co, rose 8 percent to HK$8.75, after tapping an intraday record high at HK$8.80.
J.P. Morgan raised its 2006 earnings forecasts on the recently listed firm by 16.5 percent to US $361 million and the price target to HK$10.50, thanks to stronger-than-expected first-half margins.
Comments
Comments are closed.