ICAB will do well IMO
biz.yahoo.com
Wednesday December 1, 8:51 pm Eastern Time
HK stocks seen opening up on Wall Street
HONG KONG, Dec 2 (Reuters) - Hong Kong stocks are expected to open higher on Thursday after data released overnight eased fears that the U.S. Federal Reserve would raise interest rates.
Analysts said softer-than-anticipated November data from the National Association of Purchasing Management would boost local sentiment, after underpinning a rally on Wall Street. The Dow Jones industrials (^DJI - news) rose 120.58 points or 1.11 percent to end at 10,998.39. The Hang Seng Index (^HSI - news) closed up 45.33 points or 0.29 percent at 15,422.52 on Wednesday.
Traders expect the Dow to bolster the Hong Kong market on Thursday.
``It's helpful and market sentiment is already very good. As long as there isn't any bad news coming out today, the Hang Seng is going to go up after Wall Street,' said South China Brokerage director Howard Gorges.
Analysts said foreign funds have been flowing into the local cash market since November and were likely to continue until the end of the year, supporting further index gains.
``So far Hong Kong has done the best Y2K (year-2000) preparation of the region so I think investors would park their money here,' said KGI Asia Ltd associate director Ben Kwong.
Brokers said the Hang Seng Index is likely to trade between 15,400 and 15,600 on Thursday, with big blue chips leading the way.
``Hutchison Whampoa , its parent Cheung Kong (Holdings) and a couple of other property stocks are expected to lead the market,' said Kwong.
He noted investors will be eyeing any latest development for Hutchison which underpinned the market on Wednesday.
The conglomerate, whose telecom activities have been under investor scrutiny in recent weeks, is tying up with NTT Docomo .
In a deal announced on Wednesday, NTT Docomo is taking a stake in Hutchison's mobile phone unit, diluting Motorola Inc's (NYSE:MOT - news) 30 percent stake in the process |
