Plus   Neg

Overbought Hang Seng Tipped To Open Higher

The Hong Kong stock market has climbed higher in four straight sessions, gathering almost 1,400 points or 5.5 percent along the way. The Hang Seng Index now rests just above the 26,460-point plateau and it's expected to open higher again on Thursday.

The global forecast for the Asian markets is firm on continued trade optimism and surging crude oil prices. The European and U.S. markets were higher and the Asian bourses are tipped to open in slimier fashion.

The Hang Seng finished sharply higher on Wednesday with gains across the board - especially from the casinos, financials and oil and insurance companies.

For the day, the index soared 586.87 points or 2.27 percent to finish at 26,462.32 after trading between 26,192.65 and 26,597.07.

Among the actives, AAC Technologies surged 6.41 percent, while Sands China soared 4.59 percent, China Petroleum and Chemical (Sinopec) spiked 4.52 percent, China Mengniu Dairy jumped 4.31 percent, WH Group climbed 3.84 percent, Tencent Holdings advanced 3.80 percent, Galaxy Entertainment gathered 3.75 percent, China Life Insurance perked 3.62 percent, Industrial and Commercial Bank of China collected 3.08 percent, BOC Hong Kong accelerated 3.00 percent, AIA Group added 2.97 percent, Ping An Insurance gained 2.33 percent, CNOOC rose 2.25 percent, China Mobile was up 1.72 percent, Hong Kong & China Gas picked up 1.22 percent, New World Development climbed 0.54 percent and Hengan International was unchanged.

The lead from Wall Street is upbeat as stocks fluctuated on Wednesday but still finished higher, extending gains for a fourth consecutive session.

The Dow added 91.67 points or 0.39 percent to 23,879.12, while the NASDAQ gained 60.08 points or 0.87 percent to 6,957.08 and the S&P was up 10.55 points or 0.41 percent to 2,584.96.

The markets continued to benefit from optimism about a potential trade deal between the U.S. and China after talks between U.S. and Chinese officials were extended to a third day. Traders remain hopeful the U.S. and China will reach a long-term agreement before a March 1 deadline.

Stocks remained positive after the minutes of the latest Federal Reserve meeting confirmed Fed Chairman Jerome Powell's recent remarks suggesting the central bank will take a patient approach to further interest rate increases.

Crude oil prices rose sharply Wednesday, extending gains to an eighth straight session amid easing concerns about energy demand. Crude oil futures for February ended up $2.58 or 5.2 percent at $52.36 a barrel.

For comments and feedback contact: editorial@rttnews.com

Follow RTT