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Rebound Predicted For Hong Kong Stock Market

The Hong Kong stock market had alternated between positive and negative finishes through the last 10 trading days since the end of the six-day losing streak in which it had tumbled almost 1,140 points or 3.9 percent. The Hang Seng Index now rests just above the 25,680-point plateau although it may bounce higher again on Thursday.

The global forecast for the Asian markets is upbeat on renewed optimism for a trade deal between the United States and China. The European and U.S. markets were up and the Asian markets figure to open in similar fashion.

The Hang Seng finished modestly lower on Wednesday following losses from the financial shares, casinos and oil and insurance companies.

For the day, the index tumbled 210.59 points or 0.81 percent to finish at 25,682.81 after trading between 25,656.66 and 25,866.84.

Among the actives, Hang Seng Bank plummeted 3.27 percent, while AAC Technologies plunged 2.44 percent, China Resources Land surged 2.40 percent, BOC Hong Kong tumbled 2.13 percent, CSPC Pharmaceutical skidded 1.99 percent, AIA Group retreated 1.96 percent, Tencent Holdings declined 1.73 percent, Galaxy Entertainment dropped 1.35 percent, China Life Insurance sank 0.89 percent, China Mengniu Dairy shed 0.82 percent, Sands China lost 0.72 percent, CNOOC fell 0.69 percent, China Petroleum and Chemical slid 0.66 percent, Henderson Land added 0.55 percent, Hong Kong & China Gas dipped 0.53 percent, New World Development was down 0.39 percent, Ping An Insurance eased 0.33 percent, WH Group gained 0.28 percent, Sino Land rose 0.17 percent and Industrial and Commercial Bank of China and China Mobile were unchanged.

The lead from Wall Street is positive as stocks moved mostly higher on Wednesday, with traders expressing renewed optimism about upcoming U.S.-China trade talks.

The Dow added 181.97 points or 0.70 percent to 26,346.01, while the NASDAQ jumped 79.96 points or 1.02 percent to 7,903.74 and the S&P 500 rose 26.34 points or 0.91 percent to 2,919.40.

The strength on Wall Street followed reports that China is still open to reaching a partial trade deal with the U.S. Negotiators aren't optimistic about securing a broad agreement but said China would accept a limited deal as long as President Donald Trump does not impose any more tariffs.

Meanwhile, traders largely shrugged off the minutes of the Federal Reserve's September monetary policy meeting, which revealed a few participants expressed concerns that the markets expect more interest rate cuts than are appropriate.

Crude oil futures settled lower Wednesday after data showed an increase in U.S. crude inventories last week. West Texas Intermediate Crude oil futures for November edged down $0.04 to $52.59 a barrel after hitting a high of $53.74 a barrel.

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