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Hong Kong Stock Market Tipped To Open In The Green

The Hong Kong stock market has tracked lower in back-to-back sessions, surrendering more than 150 points or 0.6 percent along the way. The Hang Seng Index now rests just above the 28,460-point plateau although it may regain its footing on Friday.

The global forecast for the Asian markets is mildly positive on an improved outlook for interest rates. The European markets were down and the U.S. bourses were up and the Asian markets are tipped to follow the latter lead.

The Hang Seng finished modestly lower on Thursday following losses from the financials, oil companies and casinos.

For the day, the index shed 131.51 points or 0.46 percent to finish at 28,461.66 after trading between 28,376.50 and 28,511.65,

Among the actives, CNOOC plummeted 2.28 percent, while AAC Technologies plunged 2.27 percent, Tencent Holdings tumbled 1.82 percent, Sands China skidded 1.33 percent, New World Development retreated 1.28 percent, CSPCV Pharmaceutical declined 1.19 percent, Galaxy Entertainment contracted 1.14 percent, China Mengniu Dairy advanced 0.80 percent, WH Group shed 0.77 percent, AIA Group added 0.76 percent, CITIC lost 0.75 percent, China Petroleum and Chemical (Sinopec) fell 0.58 percent, China Mobile sank 0.42 percent, Industrial and Commercial Bank of China slid 0.36 percent, Ping An Insurance dipped 0.32 percent, China Life Insurance collected 0.24 percent and Hong Kong & China Gas and BOC Hong Kong were unchanged.

The lead from Wall Street is cautiously optimistic as stocks saw considerable volatility on Thursday, with the major averages swinging back and forth across the unchanged line before ending higher.

The Dow added 3.12 points or 0.01 percent to 27,222.97, while the NASDAQ gained 22.04 points or 0.27 percent to 8,207.24 and the S&P 500 rose 10.69 points or 0.36 percent to 2,995.11.

The higher close on Wall Street came as comments from New York Federal Reserve President John Williams seemed to endorse a near-term interest rate cut by the Fed.

Buying interest was somewhat subdued, however, as traders were also digesting news that the U.S. Navy has shot down an Iranian drone in the Strait of Hormuz.

Crude oil futures declined sharply Thursday as resumption of service in the Gulf of Mexico raised concerns about excess supply in the market. West Texas Intermediate Crude oil futures for August ended down $1.48 or 2.6 percent at $55.30 a barrel.

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