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Hong Kong stocks close 0.1% higher
(Xinhua)
Updated: 2009-03-19 16:29 Hong Kong stocks edged up 13.75 points, or 0.1 percent, to close at 13,130.92 on Thursday after fluctuations around previous close. Turnover totaled HK$48.59 billion ($6.23 billion), up from Wednesday's HK$37.5 billion. The benchmark Hang Seng Index managed to stay above the 13,000 mark but there has been profit taking on market heavyweight HSBC, which has previously recorded a seven-day rally that accumulated gains of over 30 percent. HSBC shed HK$1.2, or 2.81 percent, to end at HK$41.5, alone contributing a fall of 63.86 points to the blue chip index change. Investors were cautious partly because the rights issue is expected to create room for more short selling and, therefore, more volatility as the new shares will soon be for trading after the shareholders' meeting in London later Thursday. Meanwhile, the Chinese mainland stock market lent support to the Hong Kong market as it closed up 1.89 percent, although some of the regional markets were slightly lower even after the United States Federal Reserve's 1.2 trillion spending plan. The blue chip index opened at 13,205.17, up 0.67 percent but quickly reversed opening gains to slight losses in morning trading. It managed to finish both morning and afternoon trading in positive ground, up 0.07 and 0.1 percent, respectively. The HSI futures was trading at moderate discounts to the cash market, suggesting potential downside pressure, but analysts said the Hang Seng Index may test higher levels in the recent term if it managed to hold above 13,000. (For more biz stories, please visit Industries)
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