Hong Kong share prices are likely to trade lower on consolidation and caution ahead of more corporate earnings next week, dealers said Friday. However, they said the market will be underpinned by easing interest rate worries as investors expect that rate hikes have reached a ceiling.
"The market will be consolidated and might come down a little bit. In the short term, I expects it to trade lower but I am still positive for its long-term growth," said DBS Vickers sales director Peter Lai.
The fundamentals in local market are good amid strong economic growth in Hong Kong and China, he said.
Dealers said investors will closely watch the results announcements for the first-half year due out next week from local conglomerates Hutchison Whampoa, Cheung Kong and mainland phone giant China Unicom.
Lai believes the market will get support if they announce positive results. He said rate-sensitive property stocks are also expected to perform well.
For the week to August 18, the benchmark Hang Seng Index rose 80.75 points or 0.47 percent to 17,330.70.
Lai expects the main index to trade at a support level of 16,800-17,000 points.
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