Hong Kong Bourse Tipped To Open In The Green
(RTTNews) - The Hong Kong stock market has alternated between positive and negative finishes through the last six trading days since the end of the two-day losing streak in which it had stumbled nearly 200 points or 0.8 percent. The Hang Seng Index now rests just beneath the 27,160-point plateau and it's expected to add to its winnings on Thursday.
The global forecast for the Asian markets is positive on optimism for a resolution in the trade wat between the United States and China. The European and U.S. markets were up and the Asian bourses are predicted to follow that lead.
The Hang Seng finished sharply higher on Wednesday with gains across the board - particularly from the financial shares, oil companies and property stocks.
For the day, the index surged 475.38 points or 1.78 percent to finish at 27,159.06 after trading between 26,705.63 and 27,159.51.
Among the actives, Hang Seng Bank and Wharf Real Estate both surged 4.56 percent, while Henderson Land soared 4.30 percent, BOC Hong Kong spiked 3.66 percent, Industrial and Commercial Bank of China collected 2.87 percent, New World Development accelerated 2.75 percent, China Petroleum and Chemical (Sinopec) jumped 2.72 percent, WH Group climbed 2.36 percent, China Life Insurance gathered 1.89 percent, Tencent Holdings perked 1.70 percent, China Mobile advanced 1.66 percent, CSPC Pharmaceutical tumbled 1.55 percent, AAC Technologies added 1.54 percent, CITIC gained 1.41 percent, Ping An Insurance rose 1.36 percent, CNOOC climbed 0.99 percent, AIA Group jumped 0.82 percent, China Mengniu Dairy lost 0.66 percent and Sands China and Hong Kong & China Gas both were up 0.52 percent.
The lead from Wall Street is firm as stocks opened higher on Wednesday and continued to rise as the day progressed, sending the major averages to their best closing levels in a month.
The Dow added 227.61 points or 0.85 percent to 27,137.04, while the NASDAQ spiked 85.52 points or 1.06 percent to 8,169.68 and the S&P 500 rose 21.54 points or 0.72 percent to 3,000.93.
The strength on Wall Street came following news that China is granting tariff exemptions for 16 types of American-made products as a sign of goodwill ahead of the next round of trade talks.
Stocks also benefited from optimism about new global stimulus ahead of the European Central Bank's monetary policy decision later today as well as next week's Federal Reserve meeting.
Crude oil prices declined sharply Wednesday on a downward revision in OPEC's oil demand forecast and speculation that the U.S. may ease sanctions on Iran. West Texas Intermediate Crude oil futures for October ended down $1.65 or 2.9 percent at $55.75 a barrel, the lowest settlement since September 3.
Closer to home, Hong Kong will provide Q2 figures for industrial production later today; in the three months prior, industrial production was up 1.1 percent on quarter and 1.4 percent on year.