Hong Kong shares end flat, China index jumps

Hong Kong stocks ended flat on Wednesday in quiet trade as dealers awaited key economic data from mainland China later in the week, dealers said. The benchmark Hang Seng Index edged up 17.90 points to 22,121.43. Turnover was 57.96 billion Hong Kong dollars (7.47 billion US). A trader at a US investment bank said the index could test 23,099, November's peak, in the near term, helped by strong liquidity.
China is scheduled to disclose data on Thursday including first quarter gross domestic product and March consumer prices. Hong Kong developers rose on hopes that demand and prices will remain robust, with Cheung Kong up 1.1 percent at 106 Hong Kong dollars and Sun Hung Kai Properties rising two percent to 121.40. Mainland developers fell on tightening concerns after property prices in 70 of China's large and medium-sized cities rose 11.7 percent year-on-year in March, the fastest since July 2005.
China Overseas Land lost 0.1 percent to 16.56 and China Resources Land fell 2.4 percent to 16.06. China Southern Airlines was 3.4 percent off at 3.72 on profit-taking after an 11 percent rise over the past six sessions. Chinese shares closed up 0.16 percent as gains in commodity stocks offset losses in banks and real estate developers, dealers said.
The Shanghai Composite Index, which covers both A and B shares, was up 4.93 points at 3,166.18 on turnover of 137.9 billion yuan (20.2 billion dollars). The index reached its highest close since ending at 3,246.87 on January 19. "The strength of the gross domestic product and consumer price index data to be released is a major concern, as investors will look for clues about potential further monetary tightening," Ci Weixiang, an analyst at Guotai Junan Securities, told Dow Jones Newswires.
Metal firms rose due to higher prices. Chalco added 1.4 percent to reach 13.44 yuan, while Yunnan Aluminium gained 2.6 percent to reach 13.01 yuan and Jiangxi Copper rose 2.6 percent to 38.06. Banks and property developers tumbled on profit-taking. Shanghai Pudong Development Bank fell 0.7 percent to 22.88 yuan and China Vanke shed 0.4 percent to 9.21 yuan.