Plus   Neg

Soft Start Predicted For Hong Kong Stock Market

The Hong Kong stock market on Tuesday snapped the three-day winning streak in which it had surged more than 860 points or 3.1 percent. The Hang Seng Index now rests just above the 28,885-point plateau and it may see mild selling pressure again on Wednesday.

The global forecast for the Asian markets is murky ahead of the trade deal between the United States and China that is expected to be signed later this week. The European markets were barely higher and the U.S. bourses were mixed and little changed and the Asian markets figure to split the difference.

The Hang Seng finished modestly lower on Tuesday as losses from the financials and oil companies were offset by support from the casinos and properties.

For the day, the index sank 69.80 points or 0.24 percent to finish at 28,885.14 after trading between 28,790.49 and 29,149.53.

Among the actives, AAC Technologies plummeted 4.44 percent, while Sands China surged 3.14 percent, Galaxy Entertainment soared 2.29 percent, China Life Insurance plunged 1.54 percent, Tencent Holdings tumbled 1.48 percent, CNOOC skidded 1.46 percent, China Resources Land retreated 1.35 percent, CSPC Pharmaceutical declined 1.33 percent, China Mobile spiked 1.07 percent, China Petroleum and Chemical (Sinopec) dropped 1.05 percent, Industrial and Commercial Bank of China sank 1.01 percent, Ping An Insurance collected 0.94 percent, Techtronic Industries shed 0.86 percent, AIA Group jumped 0.75 percent, CITIC climbed 0.59 percent, New World Development advanced 0.55 percent, Hong Kong & China Gas added 0.39 percent, Sino Land gained 0.35 percent, China Mengniu Dairy lost 0.31 percent, WH Group fell 0.23 percent and BOC Hong Kong was unchanged.

The lead from Wall Street offers little clarity as the markets showed a lack of direction on Tuesday, bouncing back and forth across the unchanged line before eventually closing mixed.

The Dow added 32.62 points or 0.11 percent to finish at 28,939.67, while the NASDAQ lost 22.60 points or 0.24 percent to 9,251.33 and the S&P 500 fell 4.98 points or 0.15 percent to 3,283.15.

The choppy trading on Wall Street came as traders seemed reluctant to make big moves following quarterly results from several big-name financial companies as JPMorgan Chase (JPM) and
Citigroup (C) beat the street while Wells Fargo (WFC) missed badly.

Stocks saw some volatility in afternoon trading on reports that tariffs on billions of dollars of Chinese goods are likely to remain in place until after the U.S. elections in November.

In U.S. economic news, the Labor Department said consumer prices in the U.S. increased by slightly less than anticipated in December.

For comments and feedback contact: editorial@rttnews.com

Market Analysis

Follow RTT