HONG KONG: Hong Kong stocks staged a rebound Friday morning after a previous decline, bolstered by a sharp rise in U.S. markets overnight. The benchmark Hang Seng Index HSI, +1.09% advanced 0.9%, with the mainland-China-tracking Hang Seng China Enterprises HSCEI, +1.39% up 1%. However, Shanghai markets extended their sell-off, with the Shanghai Composite Index SHCOMP, -2.05% down 2.3%, as nine companies launched IPOs on Friday, adding to concerns about market liquidity. In Hong Kong, several top-weighted stocks posted substantial gains, as Asian life insurer AIA Group Ltd. 1299, +2.38% advanced 2%, China Construction Bank Corporation 0939, +2.27% CICHF, +0.94% 601939, -1.04% rose 1.6%, and telecoms giant China Mobile Ltd. 0941, +1.72% CHL, -0.43% moved up 1.3%. Chinese banks also gained across the board, with Bank of Communications Co., Ltd. 3328, +1.42% BKFCF, +0.52% 601328, -3.20% up 1.2%, Bank of China Ltd. 3988, +1.55% BACHY, +0.06% 601988, -0.63% adding 1%, and Industrial & Commercial Bank of China Ltd. 1398, +1.88% IDCBF, +1.84% 601398, -0.20% higher by 0.9%. However, cement stock West China Cement Ltd. 2233, -8.24% sank 6.5% after resuming share trading, seemingly ignoring news that the company reached an agreement with China’s largest cement manufacturer Anhui Conch Cement Co. Ltd. 0914, -0.34% 600585, -5.23% to sell 903 million new shares, or a 16.7% stake. Anhui Conch Cement Co. Ltd. traded flat. Among other market movers, Evergrade Real Estate 3333, +2.10% EGRNF, +7.32% climbed 2.1%, and Hong Kong Exchanges & Clearing Ltd. 0388, +1.20% tacked on 0.9%.
