CHINA / Taiwan, HK, Macao |
Hong Kong shares hit new high(AP)Updated: 2007-05-08 10:58 HONG KONG -- Hong Kong shares advanced for a fourth straight session Monday to hit a new high, led by property stocks following Wall Street's record close last week. The blue chip Hang Seng Index rose 55.56 points, or 0.27 percent, to 20,896.64. The benchmark index once touched the all-time high level of 21,070.21 but active profit-taking trades sent the index off the main resistance level of 21,000. On Wall Street last Friday, the Dow Jones Industrial Average rose 23.24 points, or 0.18 percent, to 13,264.62 _ its fourth straight record close. Analyst said the Hang Seng Index's breach of 21,000 on Monday is only temporary. "Lofty expectations for land auction tomorrow power today's rally but the market always falls on the day of land auction due to profit-taking," said Eugene Law, director of Celestial Securities Research. The government will auction a plot of 8,060-square-meter residential site in the West Kowloon reclamation area with a reserved price of HK$2.6 billion (US$333 million; euro244 million). A positive result expected from the land auction sent the Hang Seng Properties Index to advance 0.51 percent to 26,180.67 points, outpacing the Hang Seng Index's gain of 0.27 percent. Among the property gainers, Henderson Land rose 2 percent to HK$55.35, Hang Lung Properties ended 3 percent higher at HK$24.80 and Sun Hung Kei Properties rose 0.1 percent to HK$96.35. Wharf Holdings was the best performing blue chip as it rose 4 percent to HK$32.40 after Credit Suisse raised its target price by 11 percent to HK$37.60 to incorporate value of company's expanded property project in China. Dealers said investors are likely to continue buying China stocks on anticipated gains in mainland stock markets which will resume trade tomorrow after the weeklong Labor Day holidays. "The central government did not announce any big economic tightening measures during the holidays could spur investors to continue pushing up mainland markets." said Y.K. Chan, Strategist at Phillip Capital Management (HK) Ltd. Insurer China Life rose 2 percent to HK$25.45 while China Merchants Bank gained 2 percent to HK$19.84. |
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