HONG KONG, May 13 (Reuters) - Hong Kong shares are expected
to fall on Wednesday as the market consolidates gains from a
recent rally, while a fall in American Depository Receipts of
Hong Kong listed firms added further pressure on local stocks.
"The market will continue to consolidate and we are expecting
a more meaningful consolidation for the remainder of the week,"
said Francis Lun, general manager from Fulbright Securities.
He sees the benchmark index falling some 1,000 points in the
coming few days.
Shares of China Construction Bank (601939.SS) were also
expected to find support as an overhang was removed after Bank of
America unloaded a chunk of shares on Tuesday.
The benchmark Hang Seng Index .HSI on Tuesday finished up
0.4 percent, or 65.69 points, at 17,153.64, while the China
Enterprises Index .HSCE of top mainland companies was down 0.43
percent at 9,722.22.
STOCKS TO WATCH
* Fashion retailer Esprit Holdings Ltd (0330.HK) said on
Wednesday its turnover fell 2.1 percent to HK$27.18 billion for
nine-months to March 31 as contribution from Europe slid 3.5
percent to HK$23.22 billion. For statement please click
here
* Pacific Basin Shipping (2343.HK) said it would sell 174.73
million new shares at HK$4.36 each, raising proceeds to fund
expansion initiatives such as the purchase of dry bulk vessels or
companies. For statement please click
here
* China Eastern Airlines (0670.HK) said losses from
settlement of the aviation fuel hedging contracts in the first
quarter of 2009 amounted to about 916 million yuan. The aviation
fuel cost in the first quarter was 2.59 billion yuan, down from
4.11 billion yuan the same period a year ago.
The company said the aviation fuel cost for 2009 would be
lower than that of 18.4 billion yuan in 2008 if the international
oil price does not fluctuate dramatically. For statement please
click
here
* Hong Kong Exchanges and Clearing Ltd (0388.HK) is scheduled
to announce its first-quarter results on Wednesday. The bourse
operator is expected to report a fourth consecutive quarterly
profit decline.
* Bank of America (BAC.N) sold $7.3 billion worth of shares
in China Construction Bank on Tuesday, according to a source,
just days after a U.S. government "stress test" found the
struggling U.S. bank needed to find $34 billion worth of capital.
[ID:nHKG158391]
(US$1=HK$7.8)
(Reporting by Donny Kwok; editing by Jacqueline Wong)
