HK shares may rise on bargain hunting after 2-day fall

HONG KONG, Nov 4 (Reuters) - Hong Kong shares may rise on
Wednesday on bargain hunting after the market's fall in the
last two sessions, with China Unicom (0762.HK) in focus after
it signed up over one million 3G subscribers.

Analysts said, however, handset subsidies and marketing
costs may weigh on profit margins of China Unicom, China's No.
2 mobile carrier. [ID:nPEK156986

"Hong Kong will recover slightly today mainly because of
bargain hunting," said Francis Lun, general manager at
Fulbright Securities. "The U.S. market did not fall that much
last night, so Hong Kong will probably gain 200 points today."

Wall Street ended mixed on Tuesday, with the S&P 500 and
Nasdaq posting modest gains on merger expectations, but the Dow
fell after a downgrade of the tech sector. [ID:nN03515398]

The market will be closely watching the outcome of the
Federal Reserve meeting later in the day. [.N]

The benchmark Hang Seng Index .HSI closed down 1.76
percent on Tuesday, its second day of decline. The index had
fallen 2.36 percent in the last two days.

STOCKS TO WATCH:

* Chinese oil refiner Sinopec (0386.HK) said it will buy
about one million barrels per day of crude from Saudi Arabia
next year, a volume nearly 30 percent above the current rate.
The firm expects its refining business to stay profitable in
the last quarter. [ID:nPEK166687] [ID:nPEK166337]

* Asia Resources Holdings (0899.HK) said it would buy a 55
percent stake in a mining and iron ore trading venture in East
Java province in Indonesia for HK$577.5 million, a deal to be
settled by issue of convertible note and in cash. For statement
please click
here
11031018.pdf * China Overseas Land (0688.HK) said it had
successfully bid for a piece of land in Jiangbei City in
Chongqing for 4.1 billion yuan. The firm will team up with
Wharf (0004.HK) to jointly develop the site into residential
and office properties. For statement please click
here
11031016.pdf * Dongfeng Motor Group (0489.HK) said its net
profit for the first nine months of the year amounted to 4.63
billion in accordance to Chinese accounting standards. It gave
no comparison figures. For statement please click
here
1103922.pdf * Huadian Power (1071.HK) said it would buy
from XinKuang Inner Mongolia Energy Co a 35-percent stake in
Inner Mongolia Fucheng Mining Co Ltd for 498 million yuan and a
25-percent stake in Inner Mongolia Ertuokeqianqi Changcheng
Mine Co Ltd for 180 million yuan. For statement please click
here
1103919.pdf * Mobile handset maker TCL Communications
Technology (2618.HK) said it planned to raise HK$357.5 million
by offering shares at HK$1 each. For statement please click
here
1103860.pdf ----------------------MARKET SNAPSHOT @ 2307
GMT ------------

INSTRUMENT LAST PCT CHG NET CHG S&P
500 .SPX 1045.41 0.24% 2.530
USD/JPY JPY= 90.28 -0.02% -0.020
10-YR US TSY YLD US10YT=RR 3.4689 -- 0.000
SPOT GOLD XAU= 1083.1 -0.13% -1.400
US CRUDE CLc1 79.5 -0.13% -0.100
DOW JONES .DJI 9771.91 -0.18% -17.53
------------------------------------------------------------- >
S&P 500, Nasdaq end higher on deal news [.N] > US
dollar rises to 1-mo highs on banking worries [USD/] > Prices
dip as traders prepare for supply, Fed [US/] > Gold sweeps
to record high above $1,080 [GOL/] > Oil rises 2 pct
on U.S. factory data, gold surge [O/R]

(Reporting by Jun Ebias; Editing by Valerie Lee)