SHANGHAI Aug 28 Hong Kong and Chinese shares
were mixed on Thursday, as the offshore market rebounded from
multi-week lows after Wall Street bounced overnight and fears of
an imminent U.S.-led strike on Syria abated.
But mainland stocks fell, with analysts saying news of
developments in the Syria crisis had little effect on Shanghai
and Shenzhen-listed firms.
"Syria has a major impact, but it's more keenly felt in the
offshore market. On the mainland the effect isn't all that big,"
said Zhang Weigang, an analyst at Shanghai Securities.
Hong Kong's Hang Seng Index recovered from multi-week
lows, rising 0.52 percent to 21,635.97, while the sub-index of
Hong Kong-listed China enterprises gained 0.61 percent.
Mainland indexes fell, bucking their recent trend of
outperforming regional peers. The CSI300 Index, which
tracks the largest firms listed in Shanghai and Shenzhen,
dropped 0.44 percent in the morning session, while the Shanghai
Composite Index lost 0.31 percent to 2,094.77.
In morning trade, Japan's Nikkei was up 0.53
percent, while South Korea's KOSPI added 1.43 percent.
Analysts said that military stocks had normalised today,
suggesting fears over conflict have eased. "Yesterday we saw
military stocks rising, but today they have come back into
line," added Zhang.
Gains were limited as investors remained on edge as the
United States sketched out plans for multinational air strikes
on Syria that could last for days, prompting China to urge for
restraint over the growing crisis.
Chinese markets have been on a gradual recovery trend since
a low point in late June during an unexpected credit crunch
engineered by the central bank. Analysts say sentiment has been
supported by improving mainland economic indicators, as promoted
in a report released on Monday by China's National Bureau of
MOVERS AND SHAKERS
China Life Insurance Co Ltd , the
world's biggest insurer by market capitalization, edged up 0.31
percent after it posted a 68 percent increase in first-half net
Dairy products maker China Mengniu Dairy Co Ltd
shot up 7.04 percent after it posted a 16 percent rise in first
half net profit to 749.5 million yuan.
Agricultural Bank of China , which saw
its Q2 profit beat estimates on Wednesday, rose 1.82 percent
offshore after management said it will reduce bad loans and it
told analysts it was considering raising capital by issuing
Hong Kong shares in Sinopec Corp ,
Asia's top refiner, were down 1.22 percent after China's
environment ministry suspended some approvals for parent Sinopec
PetroChina, meanwhile, rose 1.93 percent after
industry officials said its 120,000-barrel-per-day subsidiary
refinery in northwestern China is undergoing a major overhaul
that will end in late September.
Zoomlion Heavy Industry Science and Technology Co Ltd
, China's second-largest construction
equipment maker, fell 3.18 percent offshore as it said first
half net profit fell 48 percent.