HONG KONG Jan 12 Hong Kong shares snapped
a three-day winning streak on Thursday, stalled by chart
resistance levels formed in the last quarter and with China's
December inflation data giving investors little incentive to
chase a New Year rally.
The Hang Seng Index closed down 0.3 percent at
19,095.38. The China Enterprises Index of top mainland
listings in Hong Kong finished up 0.02 percent at 10,519.21.
The Shanghai Composite Index ended a choppy Thursday
session down 0.05 percent at 2,275.01 in the weakest A-share
turnover the week so far.
* The Hang Seng Index finished close to the bottom of its
trading range after testing earlier resistance at 19,242, which
was its December peak. With China's December inflation data
slightly above market expectations, there was little incentive
for investors to chase a New Year rally that had lifted the
benchmark almost 4 percent in just over a week.
* China Unicom (Hong Kong) Ltd, the Hong Kong
listed arm of the mainland's second-largest mobile operator,
shed 4.4 percent in more than five times its 30-day average
volume, sinking below its 200-day moving average to the lowest
since Oct. 24. It has lost 9.3 percent in a three-session losing
* A 44 percent gain last year made China Unicom the top
performer among Hang Seng Index components as investors sought
the relative safety of its subscriber momentum amid uncertainty
over the pace of the slowdown in China's economy. But doubts
have been cast on that element of safety as competition
intensifies, with smaller rival China Telecom Corp Ltd
gaining iPhone operating rights in mainland China and bigger
rival China Mobile Ltd getting better quality
smartphones, CLSA analysts wrote in a note dated Jan. 11.
(Reporting by Clement Tan and Vikram Subhedar; Editing by Chris