HK, China stocks mixed; CITIC Pacific, Cathay up

* HK trims gains; CITIC Pacific up ahead of results

* China slides on monetary tighening concerns (Updates to midday)

By Donny Kwok and Claire Zhang

HONG KONG/SHANGHAI, March 10 (Reuters) - Hong Kong shares trimmed early gains to advance marginally at midday on Wednesday with China Life (2628.HK) extending rises after an upbeat profit forecast, while mainland stocks slipped on worries over possible monetary tightening.

In Hong Kong, CITIC Pacific (0267.HK) rose 4.5 percent to a seven-week high at HK$18.46 ahead of its earnings report before steadying at HK$18.38 at midday, up 4.1 percent. During the lunch break, the steel-to-property conglomerate said it returned to profit with earnings at HK$5.95 billion for 2009, beating forecast of HK$5.08 billion. [ID:nHKF002194]

Hong Kong's dominant air carrier Cathay Pacific Airways (0293.HK) rose 1.9 percent to HK$14.80 by the lunch break before posting a yearly profit of HK$4.69 billion, beating a consensus forecast of HK$3.01 billion. [ID:nHKF002195]

The benchmark Hang Seng Index .HSI trimmed early gains and edged up 0.04 percent, or 7.95 points, to 21,215.50 at midday. The China Enterprises Index .HSCE of top locally listed mainland Chinese stocks was up 0.15 percent at 12,229.23.

Turnover decreased to HK$30.65 billion ($3.95 billion) against midday Tuesday's HK$32.91 billion.

"Investors turned cautious after recent gains and in low turnover. They preferred to stay on the sidelines ahead the release of some major corporate earnings," said Alfred Chan, chief dealer at Cheer Pearl Investment.

PCCW (0008.HK), which on Tuesday posted an 18 percent rise in 2009 profit with a final dividend of HK$0.133 [ID:nHKF002192], rose 6.8 percent to a 10-month high of HK$2.36 before easing to HK$2.30 by midday, up 4.1 percent.

Brokers said buyers were attracted by PCCW's solid earnings and its relatively high dividend payout.

Pacific Century Premium Developments (0432.HK) soared 23.5 percent to a 22-month high at HK$3 before steadying at HK$2.91, up 19.8 percent. The developer posted a 16 percent rise in 2009 profit to HK$594 million ($76.5 million).

Brokers said Chinese property stocks remained firm as concern over measures to curb prices eased. with Yuexiu Property (0123.HK) up 3.7 percent to a seven-week high and Shimao Property (0813.HK) gaining 1.8 percent to a two-month high.

SHANGHAI SLID AHEAD OF ECON DATA

China's key stock index slipped 0.54 percent on Wednesday as the government released upbeat trade data, with property and auto shares hit by profit-taking while worries persisted about possible monetary tightening.

The Shanghai Composite Index .SSEC ended the morning at 3,052.541 after rising 0.52 percent on Tuesday.

The index has been confined to a 3,000 to 3,100 point range for nearly two weeks, weighed down by worries that the authorities, who are already reining in credit, will tighten monetary policy further to normalise conditions after taking extraordinary steps to tackle the financial crisis.

Losing Shanghai stocks outnumbered gainers by 757 to 137, while turnover was 54 billion yuan ($7.9 billion), little changed from Tuesday morning.

"The index came under pressure as it neared 3,100 points, with liquidity worries lingering," said Li Wenhui, senior analyst at Huatai Securities in Nanjing.

Analysts said February inflation data, due for release on Thursday, could exceed expectations, but Li added that the week-long Lunar New Year holiday, which fell in February this year versus January last year, would have boosted prices while reducing lending.

Economists expect China's February CPI to rise 2.3 percent from a year earlier, according to the median forecast in a Reuters survey.

China's top banking regulator said, however, that the country was very unlikely to suffer serious inflation this year. [ID:nTOE62900N]

Chinese banks extended about 700 billion yuan in new loans in February, half the January total, as the government clampdown on lending took hold, state media said on Wednesday. [ID:nTOE6280A3]

The General Administration of Customs announced just before the end of the morning session that China's exports jumped 45.7 percent in February from a year earlier, following a 21.0 percent rise in January, beating forecasts. [ID:nBJB003724]

"The trade data is far beyond expectations and is positive for the market but it also brings a chance for further monetary policy tightening," said Nanjing Securities analyst Wen Lijun.

The Shanghai property index .SSEP eased 1.23 percent after rising more than 4 percent over the previous two sessions on government officials' comments suggesting that no fresh moves were imminent to cool the property market.

Chongqing Changan Automobile 000625.SZ sank 2.79 percent to 12.89 yuan and SAIC Motor (600104.SS) sagged 2.69 percent to 21.36 yuan.

China's passenger car sales in February rose 55 percent from a year earlier, the official industry association said on Tuesday, moderating from January's heated 116 percent rise. [ID:TOE62709A]