* HSI -0.2 pct, H-shares -0.5 pct, CSI300 -0.2 pct
* Favorable macro-policy expectations yet to lift sentiment
* ChiNext snaps six-day winning streak down 0.8 pct
* CSPC Pharma slides after major shareholder sells shares
(Updates to midday)
By Grace Li
HONG KONG, May 27 China shares eased slightly
after the morning session on Tuesday, as positive signals from
Beijing on policy fine-tuning to support economic growth failed
to lift market sentiment.
Hong Kong tracked losses in Chinese markets, with H-shares
down more than half a percent on profit-taking.
"We can see a striking contrast between strong expectations,
stemming from signs of possible easing on money and property
policies, and how calm the markets have behaved," said Guo
Yanling, senior analyst at Shanghai Securities.
"Investors still lack confidence due to concerns about new
IPOs which will end up diluting capital," she added.
By midday, the Hang Seng Index was down 0.2 percent
at 22,917.53 points. The China Enterprises Index of the
top Chinese listings in Hong Kong shed 0.5 percent.
The CSI300 of the leading Shanghai and Shenzhen
A-share listings fell 0.2 percent, while the Shanghai Composite
Index was also down 0.2 percent at 2,037.04 points.
Premier Li Keqiang had said last week pre-emptive
fine-tuning of policy to help resolve financing strains for the
real economy was needed as China still faces relatively big
Meanwhile, central bank governor Zhou Xiaochuan said the
People's Bank of China should continue prudent monetary policy.
It should create a good monetary and financial environment to
deepen reforms and support the local economy's development, Zhou
was quoted as saying on the central bank's website on Tuesday.
The NASDAQ-style ChiNext Composite Index of
mainly high growth, high tech counters, snapped its six-day
winning streak to stand 0.8 percent lower on Tuesday morning.
Recent gains, however, have helped the index rebound 6.5 percent
from the year's lowest close on May 16.
CSPC Pharmaceutical Group Ltd lost 5.8 percent
after the company said its major shareholder Joyful Horizon
agreed to sell about 12 percent of shares to third parties.
The stock was also the most actively traded in
the Hong Kong market during the morning session.
Top percentage loser among H-shares was CITIC Securities
, down 2.9 percent after it hit a more than one-month
closing high on Monday.
Midday bourse volume in Hong Kong remained weak and below
its 20-day average for the third day.
"The market needs some encouragement", said Linus Yip,
strategist at First Shanghai Securities in Hong Kong. "The
buying interest is not too strong and the selling pressure is
not too strong also."
(Editing by Jacqueline Wong)