Hong Kong stocks rebound after previous day plunge

Hong Kong stocks Thursday regained more than their lost territory in the previous day, on the rebounding of the share prices in the Chinese mainland market and a strong performance in the Wall Street and Japanese stock market.

The Hang Seng Index opened 81 points higher Thursday, and maintained a steady growth before closing at 20,634.47 points, surging 340.71 points or 1.68 percent. Turnover rose to 76.5 billion HK dollars (9.8 billion U.S. dollars) from 75.6 billion HK dollars on Wednesday.

On Wednesday, the HSI dived 175 points on mainland's stamp duty hike to 0.3 percent from 0.1 percent, aiming to curb speculation in the red-hot market. Analysts here said that the hike had more psychological impact on investors as the fundamentals remained unchanged.

Blue chips, especially Chinese mainland stocks, or H-share, led the rebound in Hong Kong market Thursday. Heavyweights China Mobile jumped 2.4 percent 73 HK dollars and HSBC rose 0.4 percent at 144.5 HK dollars.

The H-share financial stocks rallied encouraged by their counterparts in the mainland markets. China Life, Ping An and ICBC, CCB, Bank of China and CM Bank added 0.74 per cent to 2.18 percent. Bankcomm edged up 0.86 percent on a 31 percent first quarter profit growth. CITIC Bank rallied 0.47 per cent.

On mainland property stocks category, China Overseas, Agile Property, Shimao Property, R & F Properties and China Res Land put on 3.17 per cent to 6.3 per cent. BJ Capital Land that sold 80 percent units of its Chengdu project on the first day jumped 4.81 per cent.

On resource stocks side, PetroChina to unveil the details about discovery of the biggest gas field nationwide in Sichuan within one month gained 3.55 percent; Sinopec Corp steeply rose 9.69 percent, setting a new high, as the company found geologic reserve of as more as 200 million tons in Tahe Oil field; coal stocks that received upbeat comment by Goldman Sachs advanced totally, China Shenhua, China Coal and Yanzhou Coal up 4.79 percent to 6.27 per cent.

On news penny stocks front, Mongolia Energy spiked 12.44 per cent, breaking a new high, following trading resumption after acquiring a coal mine in west Mongolia; Fulbond Holding jumped 4.29 per cent on the rumors about a shift to tap resource business; Sys Solutions intending to develop exploration projects soared 16.93 per cent; Extrawell Phar that issued a notice that it was unaware of any reason for the rise in its shares skyrocketed 44.25 per cent. (one U.S. dollar equals 7.8 HK dollars)

Source: Xinhua