* HSI -0.1 pct, H-shares flat, CSI300 -0.1 pct
* First drop seen among China's hot IPOs
* Datang Power at 7-month high on coal-chemical business
(Updates to midday)
By Grace Li
HONG KONG, July 8 China shares slipped by midday
on Tuesday on weakness in financial firms, but pared losses
after some property developers rebounded.
Hong Kong shares also edged lower, with the Macau gaming
sector extending losses as revenue remained sluggish during the
first week of July.
By midday, the Hang Seng Index dipped 0.1 percent to
23,509.77 points. The China Enterprises Index of the top
Chinese listings in Hong Kong was flat.
The CSI300 of the leading Shanghai and Shenzhen
A-share listings inched down 0.1 percent, while the Shanghai
Composite Index was off 0.2 percent at 2,056.84 points.
"More initial public offerings (IPOs) will come up later in
July, and the upcoming economic data could hardly exceed
expectations, so such a small correction is normal," said Wang
Weijun, an analyst at Zheshang Securities in Shanghai, who added
upbeat data no longer has a big positive effect on the market.
Guangdong Ellington Electronics Technology
dropped 2.2 percent, after surging by its daily limit in all
five sessions since it started trading on July 1.
The company is the first to slide into negative territory
among the nine hot new listings, six of which still jumped the
maximum allowed 10 percent limit on Tuesday.
The Chinese property sector on the mainland was weaker in
the morning session following recent strong gains, but recouped
some losses by the lunch break. Poly Real Estate Group
reversed losses with a rise of 0.2 percent.
Most of its Hong Kong-listed peers fell, with China Overseas
Land & Investment and China Resources Land
down 1.7 and 0.9 percent, respectively.
In Shanghai, Bank of China lost 0.4 percent
while China Life Insurance shed 0.5 percent.
Macau gaming counters were again the standout
underperformers in Hong Kong, with Galaxy Entertainment Group
, MGM China and Wynn Macau all down
more than 3 percent.
Barclays said in a note on Tuesday it expects total gross
gaming revenue in July to decline 6 percent from a year earlier.
Datang International Power Generation
surged 20.1 percent to a 7-month high in Hong Kong and 7 percent
in Shanghai as trade resumed on Tuesday, after the company
announced a deal to restructure its coal-chemical business.
Air China rose 1.2 percent after it signed a
partnership deal with Germany's Lufthansa to set up a
joint venture that will allow them to share revenue on certain
routes by selling tickets for each others' flights.
Beijing is due to post June inflation data on Wednesday,
with annual consumer inflation expected to ease to 2.4 percent,
well below the central bank's 3.5 percent target for 2014, and
the producer price index is likely to have dropped 1 percent.
(Editing by Jacqueline Wong)