Monday January 14, 1:13 PM
Hang Seng recovers earlier losses as China Mobile rebounds
sg.news.yahoo.com
HONG KONG (Reuters) - Hong Kong blue chips closed the Monday morning session little changed, recouping earlier losses as the bourse's second largest constituent China Mobile staged a technical rebound after a sharp fall last week.
Exporters Johnson Electric and Li & Fung also fell after United States Federal Reserve chairman Alan Greenspan said the U.S. was still dogged by "significant" risks such as higher unemployment and falling consumer spending.
The U.S. is Hong Kong's second largest export market.
The benchmark Hang Seng Index was off 0.1 percent at 11,155.57 points, after dipping as low as 11,029.22 shortly after the market opened.
"We saw the first support at 11,000 points, the next will be 10,900 and the resistance will be 11,200," said Philip Chan, head of research at Capital Securities.
The mainland's largest cellular carrier China Mobile climbed 1.45 percent to HK$24.55, after losing 13.26 percent last week, which had left it oversold on its 14-day relative strength index.
Its smaller rival China Unicom, gained 2.53 percent to HK$8.10, reversing some of last week's 11.24 percent slide. By midday, the stock was the top percentage gainer among blue chips.
"Between the two counters, China Unicom is likely to deliver higher growth in subscribers and revenues because its base is smaller than Mobile's," said Capital's Chan. |
