HONG KONG: Hong Kong shares rose on China policy hopes to boost growth.Hong Kong shares for a third consecutive day on Friday, helped by China December inflation data that raised hopes authorities will soon ease policy to boost growth.The Hang Seng Index gained 0.4 per cent for the day to 23,919.95, and 0.3 per cent for the week. The China Enterprises index was up 0.5 per cent for the day and down 1.3 per cent for the week.
China reported that annual consumer inflation hovered at a near five-year low of 1.5 per cent last month.Investor sentiment has actually improved in Hong Kong as more policy relaxation will happen,’’ said Alfred Chan, chief dealer at Cheer Pearl Investment in Hong Kong.He said he expects China to lower the reserve requirement ratio (RRR) for banks “within next couple of weeks’’.
Among the most actively traded stocks on Hong Kong’s main board were Unity Investment Holdings Ltd, up 11.4 per cent at HK$0.05, Bank Of China, up 0.2 per cent at HK$4.44, and China Construction Bank, unchanged at HK$6.45.
Chinese investment flowing from Shanghai into Hong Kong through the mutual market access pilot programme took up 0.8 billion yuan ($128.86 million) of the 10.5 billion yuan daily quota.Total trading volume of companies included in the HSI index was 2.3 billion shares. ($1 = 6.2082 Chinese yuan renminbi)
