HONG KONG, April 29 (Reuters) - Hong Kong stocks should hold
steady on Tuesday, tracking near flat U.S. markets, as investors
await earnings results from the likes of ICBC (1398.HK) and ahead
of the Federal Reserve's interest-rate decision on Wednesday.
Investors are likely to focus on shares of PetroChina
(0857.HK) and Bank of China (3988.HK) after both companies
reported earnings after the market closed on Monday.
"For PetroChina, it could be just like what happened to
Sinopec yesterday, we could se some selling pressure," said Alex
Tang, research director at Core Pacific-Yamaichi International
(HK).
The Fed statement is expected to include a quarter-point cut
in rates and could mark the end of a cycle of six previous rate
cuts since mid-September.
In Hong Kong, Chinese financial heavyweights, including ICBC
(601398.SS) and Bank of Communications (3328.HK), are due to
report first-quarter earnings on Tuesday.
On Monday, the benchmark Hang Seng Index .HSI ended up
0.59 percent at 25,666.29 points.
The China Enterprises Index of Hong Kong-listed mainland
companies .HSCE, or H shares, see-sawed between red and black
during the day, and ended down 0.18 percent at 14,196.66 after a
drop in Chinese stocks.
STOCKS TO WATCH:
* An institutional seller was selling as much as $722 million
worth of shares in China Shenhua Energy (1088.HK)(601088.SS),
according to a document sent to investors on Monday.
The investor was selling 155.6 million Shenhua shares at
HK$35.46 to HK$36.19 each, in a deal handled by UBS (UBSN.VX).
The price range represented a 4 percent to 6 percent discount
to the firm's closing price on Monday at HK$37.7. [nHKG364164]
* PetroChina Co Ltd (0857.HK) (PTR.N) (601857.SS), the
world's most valuable oil and gas producer, posted a 31.5 percent
fall in first-quarter earnings as refining losses and windfall
taxes dented gains from soaring oil prices.[nHKF079129]
* China's top offshore oil and gas producer, CNOOC Ltd
(0883.HK) (CEO.N), produced 5 percent more oil and gas in the
first quarter while its total revenue jumped 61.8 percent on high
oil prices.
State-owned CNOOC, its coffers bulging with oil revenue, is
hunting for overseas assets to meet demand from China, the
world's largest oil consumer after the United States.
[ID:nHKU000993]
* Bank of China (601988.SS) (3988.HK), the country's
second-biggest lender, posted an 85 percent jump in first-quarter
profit, driven by strong fee income and a lower tax rate.
January-March earnings were 21.7 billion yuan versus 11.7
billion yuan a year earlier. The company also said it had reduced
its subprime mortgage-related debt securities to $4.4 billion
from $5 billion. [ID:nHKG348586]
* Cheung Kong Infrastructure (1038.HK) (CKI) said it would
buy the entire Vector Wellington Electricity Network Ltd for
about NZ$785 million ($615.7 million).
CKI intended to sell part of its interest in the New Zealand
electricity distributor to Hongkong Electric Holdings (0006.HK)
but no formal agreement had yet been reached. Trading in shares
of CKI will resume on Tuesday. For full statement please sees
here
FACTORS TO WATCH:
* Nikkei hits two-month closing high, Fed awaited [.T]
* U.S. stocks-Market near flat as M&A, economy weighed [.N]
* STOCKS NEWS ASIA-Market factors, main events [STXNEWS/ASIA]
* Oil hits peak near $120 on Nigeria, Britain woes [O/R]
* Dollar falls broadly as FOMC, data awaited [USD/]
* For upcoming Hong Kong events, click on [HK/DIARY]
* For Hong Kong press digest, click on [PRESS/HK]
KEY HK ADR MOVERS (by % change)
CNOOC Ltd (CEO.N)(0883.HK) +3.6
Yanzhou Coal (YZC.N)(1171.HK) +2.4
China Unicom (CHU.N)(0762.HK) +0.9
Hutchison Telecom (HTX.N)(2332.HK) +0.14
HSBC Holdings (HBC.N)(0005.HK) +0.08
(US$1=HK$7.8)
($1=1.275 New Zealand Dollar)
(Reporting by Joseph Chaney; Editing by Anne Marie Roantree)
