(For Shanghai stock market reports, click [.SS])
(Adds Wednesday lunch close, details)
By Rita Chang
HONG KONG, Feb 27 (Reuters) - Hong Kong stocks jumped more
than 3 percent on Wednesday, as advancing global equities and
Asia-focused bank Standard Chartered's (2888.HK) forecast-beating
earnings fuelled investor confidence.
Chinese financial issues tracked their Shanghai-listed
counterparts higher as mainland stock markets .CSI300 rebounded
sharply. Resource plays also drew strength from a commodity rally
and record gold prices.
Hong Kong's financial secretary unveiled the city's 2008-09
budget, which included corporate and salary tax concessions
[ID:nHKG65494], helping to brighten the market's mood.
"Sentiment is very positive," said Jackson Wong, investment
manager at Tanrich Securities.
"We have been holding down the market but the U.S. has been
up for three consecutive days. Everything's looking quite rosy
now. Everyone in Hong Kong is expecting tax rebates and the
marginal tax may be lower. That's a psychological stimulus."
The benchmark Hang Seng Index .HSI had risen 3.7 percent to
24,597.14 by midday. The China Enterprises Index of Hong
Kong-listed mainland companies .HSCE, or H shares, surged 5
percent to 13,991.04.
Mainboard turnover was HK$57.5 billion (US$7.4 billion), up
from Tuesday morning's HK$39 billion.
StanChart, which makes three-quarters of its profits in Asia,
surged 8.4 percent to HK$261 after beating forecasts with a 27
percent rise in 2007 earnings [ID:nL26201165].
The results fired up HSBC, the morning's most active stock,
to HK$124, up 3.6 percent. The stock is on track to log a
five-session gaining streak.
China Construction Bank (0939.HK) climbed 6.1 percent to
HK$5.96. China Merchants Bank (3968.HK) powered 9.5 percent
higher to HK$27.70.
China Life (2628.HK) jumped 6.4 percent to HK$31.6. Rival
Ping An Insurance (2318.HK) stormed up 11.2 percent to HK$62.25.
Among resource shares, gold plays outperformed after the
yellow metal hit a record high [ID:nSP340543].
Zijin Mining Group Co Ltd (2899.HK) shot up 6.5 percent to
HK$10.36. China's second-biggest gold miner passed a domestic
environmental test, paving the way for it to launch its planned
IPO, a newspaper report said on Wednesday [ID:nPEK357653].
Lingbao Gold (3330.HK) leapt 4.3 percent to HK$4.66.
Jiangxi Copper (0358.HK) vaulted 5.2 percent higher to
HK$18.76.
Office landlord Swire Pacific (0019.HK) was up 1.2 percent at
HK$92.7. An institutional holder was selling $131 million worth
of shares at a 4.48 percent discount to the stock's market close
on Tuesday, according to a term sheet obtained by Reuters
[ID:nHKG19254].
(US$1=HK$7.8)
(Editing by Edmund Klamann)
