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Hong Kong Bourse Predicted To Halt Losing Streak

The Hong Kong stock market has moved lower in three straight sessions, surrendering more than 540 points or 2 percent along the way. The Hang Seng Index now rests just above the 27,240-point plateau although it may stop the bleeding on Tuesday.

The global forecast for the Asian markets is cautiously optimistic on the belief the coronavirus will soon be eliminated. The European markets were down and the U.S. bourses were up and the Asian markets figure to follow the latter lead.

The Hang Seng finished modestly lower on Monday following losses from the casinos and oil and insurance companies, while the properties and financials were mixed.

For the day, the index lost 162.93 points or 0.59 percent to finish at 27,241.34 after trading between 27,044.88 and 27,314.64.

Among the actives, Hengan International surged 4.89 percent, while Galaxy Entertainment plummeted 2.65 percent, China Mengniu Dairy plunged 2.57 percent, Sands China tumbled 1.92 percent, CSPC pharmaceutical skidded .185 percent, Techtronic Industries retreated 1.73 percent, China Life Insurance declined 1.53 percent, WH Group dropped 1.37 percent, AIUA Group sank 1.31 percent, CITIC shed 1.08 percent, Industrial and Commercial Bank of China lost 0.73 percent, China Mobile fell 0.67 percent, CNOOC slid 0.65 percent, BOC Hong Kong collected 0.56 percent, Hong Kong & China Gas dipped 0.53 percent, Tencent Holdings eased 0.45 percent, New World Development was down 0.39 percent, Sino Land added 0.37 percent, Ping An Insurance dropped 0.33 percent, China Petroleum and Chemical (Sinopec) lost 0.24 percent, AAC Technology fell 0.09 percent and Henderson Land was unchanged.

The lead from Wall Street is positive as stocks shook off early weakness on Monday and moved higher as the day progressed.

The Dow added 174.31 points or 0.60 percent to end at 29,276.82, while the NASDAQ rose 107.88 points or 1.13 percent to 9,628.39 and the S&P 500 gained 24.38 points or 0.73 percent to 3,352.09.

The strength on Wall Street came as traders returned to ignoring concerns about the economic impact of the deadly coronavirus outbreak. The Chinese government has revealed that a total of 40,171 cases of coronavirus have been confirmed, with 908 people dying from the disease.

Traders seemed reassured by Chinese President Xi Jinping's pledge to win the fight against the coronavirus outbreak, adding that China will speed up the development of drugs aimed at treating the deadly pneumonia-like virus.

Crude oil prices declined sharply on Monday amid rising concerns about the global economy and the outlook for energy demand due to the coronavirus outbreak. West Texas Intermediate Crude oil futures ended down $0.75 or 1.5 percent at $49.57 a barrel, the lowest settlement for a front-month contract since early January 2019.

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