(Recasts, updates with HKEx statement)
HONG KONG, April 2 Hong Kong Exchanges and
Clearing Ltd said it is in talks on cooperation with
mainland China stock exchanges, a deal that could allow
investors to buy mainland-listed stocks via the Hong Kong
The Hong Kong exchange operator said there was no guarantee
such a deal could be reached.
HKEx shares had jumped nearly 6 percent on Wednesday, their
biggest gain in over a year, on a report on the cooperation
talks in the 21st Century Business Herald.
The paper said the Hong Kong and Shanghai exchanges were
close to an agreement on integrating their networks, allowing
the Shanghai bourse to collect buy and sell orders in China,
with the Hong Kong bourse executing the orders and vice versa.
HKEx's shares stock hit their highest level since Jan. 23
this year before trading in them was halted. The benchmark Hang
Seng Index rose 0.3 percent.
HKEx said it had requested that the city's regulator allow
resumption of trading on Thursday morning.
In January last year, the People's Bank of China said it was
preparing a trial that will allow individuals in China to invest
in overseas markets. The programme would be an extension of the
existing Qualified Domestic Institutional Investor scheme that
permits some institutions to invest in global markets.
Hong Kong's stock exchange is hoping that a slate of new
initiatives will give it a much-needed boost after it reported
lower-than-expected annual earnings in February.
Hong Kong and China are putting the finishing touches to a
landmark deal that would encourage money managers to base
operations in the former British colony to target the huge
onshore market, a top regulator said on Tuesday.
(Reporting by Donny Kwok and Lawrence White; Editing by Chris
Gallagher and Jane Merriman)