* HSI +1.1 pct, H-shares +1.8 pct, CSI300 -0.1 pct
* Hong Kong financial stocks strong
* China Mengniu up on earnings results
* China pharmaceuticals rise on medical reform plans
(Updates to midday)
By Alice Woodhouse and Natalie Thomas
HONG KONG/SHANGHAI, March 26 Hong Kong shares
rose early Wednesday, aided by gains on Wall Street and solid
earnings reports from Agricultural Bank of China and dairy
products giant China Mengniu.
But China indexes slipped a little, despite climbs by
pharmaceutical counters, which were boosted by government
subsidy plans for the sector.
By midday, the Hang Seng Index was up 1.1 percent at
21,965.61 points. The China Enterprises Index of the top
Chinese listings in Hong Kong rose 1.8 percent.
The CSI300 fell 0.1 percent, while the Shanghai
Composite Index was down 0.1 percent at 2,064.49 points.
Alex Wong, director of asset management at Ample Finance,
described the good earnings reports as a "slight positive only"
for the Hong Kong market. Investors right now "probably are
expecting some stimulus" to boost a tepid economy but
fundamentals remain weak, he said.
Shares in Agricultural Bank of China rose 3.4
percent in Hong Kong, to a one-month high, as investors took
comfort in its decline in non-performing loans (NPLs) and
increase in net interest margins.
In the mainland, pharmaceuticals rose as Premier Li Keqiang
said China would step up medical reforms this year. A statement
on the government web portal on Tuesday announced Beijing would
increase the number of illnesses eligible for government
subsidies and said the market for health insurance would be
The biggest gainers were Shanghai Fosun Pharmaceutical
Group Co Ltd, up 3.2 percent, Yunnan Baiyao Group Co
Ltd, by 2.4 percent, and Shan Dong Dong-E E-Jiao Co
Ltd by 2.9 percent.
Shares in China's biggest supplier of dairy produce, China
Mengniu Dairy Co Ltd, jumped 9.3 percent after the
company reported better-than-expected 2013 profit.
. Mengniu does not have a mainland listing.
Footwear retailer Daphne International tumbled 7.8
percent after the firm announced 2013 net profit declined 66
(Editing by Richard Borsuk)