BEIJING, March 27 China and Hong Kong indexes
had a bumpy ride on Thursday, with tech shares taking hits
after a weak New York debut by gaming firm King Digital
Entertainment Plc highlighted investor concerns that
the sector was overpriced.
Shares in Tencent Holdings Ltd, China's biggest
listed Internet firm with a profitable mobile gaming business,
fell 6.3 percent to their lowest close in seven weeks.
The Hang Seng Composite Index for Information Technology
fell 4.5 percent, its biggest drop in nearly two
Hong Kong web game developer Forgame Holdings Ltd
dropped 8.1 percent while online game developer Kingsoft Corp
Ltd fell 6.5 percent.
Shares on the mainland also had a volatile day, with the
Shanghai Composite Index of leading Shanghai shares
spiking out of negative territory on rumours that the central
bank would loosen its reserve requirement ratio, which drove up
small and mid-cap banks.
But in the last 30 minutes of trading, with the rumour
unsubstantiated, the index slid back into negative territory,
closing down 0.8 percent at 2046.6 points. The CSI300
of the leading Shanghai and Shenzhen A-share listings declined
The CSI300 banking sub-index closed up 1
percent. Minsheng Bank rose 3.6 percent and Shanghai
Pudong Development Bank Co Ltd 1.2 percent.
Hong Kong's Hang Seng Index ended down 0.3 percent at
21,834.5, though the China Enterprises Index of the top
Chinese listings in Hong Kong rose 0.2 percent.
Hong Kong's strongest performer was CITIC Pacific,
whose shares gained 13 percent after its parent CITIC Group
agreed to inject its main operating arm into the Hong
(Reporting by Natalie Thomas; Editing by Richard Borsuk)