* HSI +1.2 pct, H-shares +1.6 pct, CSI300 +1.3 pct
* China property sector lifted by provincial-level easing
* Orient Overseas jumps as earnings top forecast
* Brightoil surges after closing deal with Anadarko
(Updates to midday)
By Grace Li
HONG KONG, Aug 11 Hong Kong and China shares
started the week strongly, with property and financial counters
leading gains, as mild Chinese consumer inflation data on
Saturday gave authorities room to further relax monetary policy.
The Hong Kong market was also lifted by Friday's Wall Street
rally rooted in an easing of tensions in Ukraine.
At midday, the Hang Seng Index was up 1.2 percent at
24,620.08 points and appeared on track to snap a three-day
losing streak. The China Enterprises Index of the top
Chinese listings in Hong Kong rose 1.6 percent.
The CSI300 of the leading Shanghai and Shenzhen
A-share listings climbed 1.3 percent, while the Shanghai
Composite Index added 1.1 percent to 2,218.00 points.
"The overall market activity is still at a relatively high
level, as money had flowed in recently," said Du Changchun, an
analyst at Northeastern Securities in Shanghai.
On Saturday, official data showed that the consumer price
index (CPI) held steady at 2.3 percent year-on-year in July,
while the producer price index (PPI) fell for the 29th
Du said he expected mainland stocks to keep rallying as
"many positive factors including the Hong Kong Shanghai Stock
Connect scheme are still there."
On Saturday, the 21st Century Business Herald reported that
the Shanghai Stock Exchange would start tests for the
cross-border connection on Monday, with all tests expected to
finish by Sept. 30.
Chinese property counters bounced back after last week's
losses. In a circular published on Friday, the Fujian provincial
government not only relaxed restrictions on house purchases in
major cities but also asked banks to give easier credit to
China Vanke climbed 2.1 percent and Poly Real
Estate 1.4 percent.
Their Hong Kong-listed peers led gains on the Hang Seng.
China Resources Land jumped 6.3 percent and China
Overseas Land & Investment spiked 4 percent.
Orient Overseas International Ltd gained 4.5
percent to its highest since October after reporting first-half
profit that beat forecasts.
Shares of Brightoil Petroleum Holdings soared 7.5
percent to a 4-month high after the oil trader said late on
Sunday it had completed the acquisition of Anadarko Petroleum
Corp's China unit for $1.05 billion.
(Editing by Richard Borsuk)