HONG KONG: Hong Kong’s stock market ended Friday’s morning session slightly lower as investors remain cautious ahead of results announcements from China’s biggest lenders. The Hang Seng Index was down 0.1 per cent, or 19 points, to 24,309 at the midday close, and the Hang Seng China Enterprises index dropped 0.2 per cent to 10,463. CNOOC surged 4.0 per cent to HK$9.3 after the oil major announced a 97 per cent year-on-year drop in net profit to 637 million yuan (US$92.5 million), which still beat expectations. Yingde Gases fell 3.8 per cent to HK$6.3 after the company warned in a statement late yesterday that changes in its management might impact its financial position. Shares of app maker Meitu, which have been on a roller-coaster ride this week, rose 4.4 per cent to HK$15.6 ahead of its profit announcement this afternoon.
“The market lacks direction after some big companies reported earlier this week,” said Castor Pang Wai-san, head of research at Core Pacific Yamaichi. “The index may just keep going up and down within a small range.” Pang said some investors have decided to keep their money in hand before China’s five largest banks report earnings next week. Investors are also waiting to see how American markets will react if the US Congress votes on a key health bill on Friday, he added. Mixed corporate earnings kept the benchmark index virtually flat on Thursday at 24,328. China Vanke, China Merchants Bank and Sinopec Group are scheduled to announce their annual results today. Mainland China shares traded mixed on Friday morning. The Shanghai Composite Index dropped 0.1 per cent, or 2 points, to 3,246 while the blue-chip CSI 300 gained 0.1 per cent, or 5 points, to 3,467. The Shenzhen Component Index edged up 0.2 per cent, or 24 points, to 10,607, and the Nasdaq-style ChiNext added 0.3 per cent, or 6 points, to 1,955. Football-related stocks gained after the Chinese national team’s surprise victory over South Korea in a widely watched World Cup qualifier last night. China Sports Industry Group rose 2.9 per cent to 19.2 yuan, and Ledman Optoelectronic, which sponsors domestic and overseas football leagues, climbed 5.9 per cent to 14.7 yuan.
In New York, markets declined slightly on Thursday, hurt by doubts over President Trump’s ability to implement his much vaunted pro-business policies, after Congress delayed a crucial vote on the new healthcare legislation. The Dow Jones Industrial Average closed 0.02 per cent lower at 20,657, while the S&P 500 retreated 0.1 per cent to 2,346. The Nasdaq dropped 0.1 per cent to 5,818. Asian markets showed mixed performances on Friday morning. Australia’s S&P/ASX 200 gained 0.8 per cent to 5,753, and South Korea’s Kospi dipped 0.2 per cent to 2,168. Japan’s Nikkei 225 went higher by 0.8 per cent at 19,239.
