* HSI +1.0 pct, H-shares +0.6 pct, CSI300 -0.4 pct
* Hong Kong property firms move up sharply
* Macau casinos advance despite soft June revenue data
* Fangda plunges after owner removed from China's parliament
(Updates to midday)
By Grace Li
HONG KONG, July 2 Hong Kong's benchmark index
rose to its highest in almost seven months early Wednesday,
buoyed by upbeat China and U.S. data and an outperforming
China shares finished a choppy morning session down, mainly
hurt by losses in a few heavyweight stocks, while new listings
continuing to jump by the daily limit.
Gains in Hong Kong came as the MSCI's broadest index of
Asia-Pacific shares outside Japan hit a
three-year peak after upbeat global economic data whetted risk
appetites and helped Wall Street reach all-time highs.
Manufacturing activity in China and the U.S. expanded
further in June, data showed on Tuesday, when Hong Kong markets
were closed for a public holiday.
At midday, the Hang Seng Index was up 1.0 percent at
23,414.64 points. During the monring it touched its highest
level since Dec. 10. The China Enterprises Index of the
top Chinese listings in Hong Kong gained 0.6 percent.
The CSI300 of the leading Shanghai and Shenzhen
A-share listings was off 0.4 percent. The Shanghai Composite
Index slipped 0.2 percent at 2,045.66 points. Both swung
between negative and positive territory in the morning.
"Even though the (Hong Kong) market is now up more than 200
points, and also sees some inflow of liquidity, most long-term
investors still believe the market will be range-bound for some
more time, because the 23,500 level remains a very strong
resistance," said Steven Leung, sales director at brokerage UOB
High-yielding, defensive Hong Kong property developers were
broadly higher aided by improved liquidity. The real estate
sub-sector index was up 2.1 percent.
New World Development, Henderson Land Development
and Cheung Kong Holdings all added more than
Macau gambling counters were also stronger, shrugging off
Tuesday data showing revenue in the world's largest casino hub
fell 3.7 percent in June from a year earlier, the first decline
in more than four years.
MGM China Holdings leapt 3.5 percent, while Galaxy
Entertainment Group and SJM Holdings both added 2.8
Analysts said the revenue decline was not as bad as expected
and the picture should improve after the World Cup ends.
FangDa Carbon New Material was a drag on mainland
markets, sinking 8.7 percent after the company said its owner
has been removed as a member of China's parliament.
($1 = 7.7500 Hong Kong Dollars)
(Editing by Richard Borsuk)