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Hong Kong Bourse May Crack Resistance At 29,000 Points

The Hong Kong stock market bounced higher again on Friday, one day after it had ended the two-day winning streak in which it had jumped almost 450 points or 1.7 percent. The Hang Seng Index now sits just beneath the 28,970-point plateau and it's predicted to move higher again on Monday.

The global forecast for the Asian markets suggests mild upside on continued optimism for economic recovery. The European and U.S. markets were up on Friday and the Asian bourses are tipped to open in similar fashion.

The Hang Seng finished modestly higher on Friday as gains from the oil companies and casinos were capped by weakness from the properties and a mixed picture from the technology stocks.

For the day, the index spiked 176.57 points or 0.61 percent to finish at 28,969.71 after trading between 28,711.11 and 29,079.18.

Among the actives, AAC Technologies and Power Assets added 0.11 percent, while AIA Group dropped 0.90 percent, Alibaba Group advanced 0.77 percent, Alibaba Health Info skidded 1.11 percent, ANTA Sports sank 0.99 percent, China Life Insurance jumped 1.29 percent, China Mengniu Dairy rallied 1.35 percent, China Petroleum and Chemical (Sinopec) accelerated 1.67 percent, China Resources Land gathered 1.08 percent, CITIC was up 0.13 percent, CNOOC surged 3.06 percent, CSPC Pharmaceutical added 0.42 percent, Galaxy Entertainment perked 1.02 percent, Hang Lung Properties climbed 1.17 percent, Henderson Land and Sands China improved 0.14 percent, Hong Kong & China Gas gained 0.32 percent, Industrial and Commercial Bank of China collected 0.37 percent, Longfor rose 0.29 percent, Meituan spiked 1.90 percent, New World Development shed 0.82 percent, Sun Hung Kai Properties tumbled 1.49 percent, Techtronic Industries lost 0.72 percent, Xiaomi Corporation soared 1.96 percent and WuXi Biologics increased 0.19 percent.

The lead from Wall Street ends up being positive as the major averages shook off a mixed open on Friday to finish modestly in the green.

The Dow jumped 164.68 points or 0.48 percent to finish at 34,200.67, while the NASDAQ rose 13.58 points or 0.10 percent to end at 14,052.34 and the S&P 500 gained 15.05 points or 0.36 percent to close at 4,185.47. For the week, the S&P spiked 1.4 percent, the Dow rose 1.2 percent and the NASDAQ gained 1.1 percent.

Upbeat earnings news generated continued buying interest, as Morgan Stanley (MS) joined other financial giants in reporting better than expected first quarter earnings.

In economic news, the Commerce Department noted a substantial rebound in new residential construction in March, while the University of Michigan said sentiment has continued to improve in April.

Crude oil prices drifted lower on Friday, snapping a four-session winning streak but still finishing sharply higher for the week. West Texas Intermediate Crude oil futures for May were down $0.33 or 0.5 percent at $63.13 a barrel, although the contract gained nearly 6.5 percent in the week.

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