* HSI +0.6 pct, H-shares +0.9 pct, CSI300 +0.2 pct
* Hong Kong shares rebound as Fed tapering worries ease
* Kunlun Energy shares drop 1.4 pct after chairman resigns
By Yimou Lee
Dec 18 Shares in China and Hong Kong, which have
been on a downward trend, eked out gains on Wednesday as worries
that the U.S. Federal Reserve is poised to start cutting its
monetary stimulus eased.
By midday, the Hang Seng Index was up 0.6 percent at
23069.23 points, while the China Enterprises Index of
the top Chinese listings in Hong Kong - which has been down four
of the past five days - rose 0.9 percent.
The CSI300 rose 0.2 percent, while the Shanghai
Composite Index was flat at 2,150.23 points. Both swung
in and out of negative territory in the morning trade. China
markets have fallen the past six sessions.
A Fed statement following its two-day meeting is expected
before Asian markets open on Thursday. Markets are waiting to
see if it starts trimming its $85 billion-a-month bond-buying
"Investors start to think maybe the Fed will not have any
decision on the stimulus cut tonight. The worries about the
stimulus seems to be gone," said Castor Pang, head of research
at Core Pacific-Yamaichi.
Insurance firms and brokerages led the rebound in China
shares, which have fallen in the past six days. But analysts
said investors remained cautious about tight liquidity before
the resumption of new share offerings next month.
Shares in Shanxi Securities Company Ltd rose 3.1
percent in Shenzhen, while China Merchants Bank surged
6 percent in Hong Kong.
Shares of Kunlun Energy fell 1.4 percent on
Wednesday in resumed trade after the company said its chairman
had resigned. Sources told Reuters that chairman Wen Qingshan,
who is also a chief accountant at China National Petroleum
Company, was being questioned in connection with a graft probe.