HK shares seen higher on Wall St rise; eyes on banks

HONG KONG, Nov 3 (Reuters) - Hong Kong stocks are seen higher
on Tuesday after Wall Street rose on Monday, while banks will be
in focus after a newspaper report said China's top four
state-owned lenders extended more credit in October.

Bank of China (3988.HK), China Construction Bank (0939.HK),
Industrial & Commercial Bank of China (1398.HK) and Agricultural
Bank of China extended new loans of about $19.9 billion in
October, up 23 percent from the previous month, the official
China Securities Journal reported on Tuesday. [ID:nSHA151278]

"The Hong Kong market will rebound today, benefitting from
the rise in U.S. markets and the drop in the U.S. dollar," said
Conita Hung, research head at Delta Asia Financial Group.

The market will also keep an eye on the Australian central
bank's rate-setting meeting on Tuesday, Hung said.

U.S. stocks rose on Monday, spurred by stronger-than-forecast
data on manufacturing and pending home sales, but a Federal
Reserve official's warning about banks' loan losses capped gains.
[ID:nN02464128]

The benchmark Hang Seng Index .HSI closed down 0.61 percent
on Monday at 21,620.19

STOCKS TO WATCH:

* HSBC Holdings (0005.HK) (HSBA.L), Europe's biggest bank, is
preparing to boost its China presence about 20 percent next year,
as it ramps up for an IPO in one of its fastest growing markets,
a top company executive said.

HSBC is aiming to open 15-20 new branches in China next year
pending regulatory approval, up from the 90-100 it will have at
the end of this year, Sandy Flockhart, chief executive of Hong
Kong and Shanghai Banking Corp, said in Taipei on Monday.
[ID:nTP125937]

* Trinity Ltd (0891.HK), a unit of consumer goods exporter Li
& Fung (0494.HK), will debut in Hong Kong. The IPO was priced at
HK$1.65 per share. Recent debutants such as Chinese developer
Yuzhou Property (1628.HK) fell on their first trading days.

* Tingyi Group (0322.HK), the company behind noodle brand
Master Kong, said on Monday that it plans to raise about $440
million in a share offering in December, Taiwan's largest IPO
from a company returning to its home base. Each of the 380
million Taiwan Depository Receipts (TDR) issued will be worth
half of the price of its Hong Kong-listed shares, although a
final price had yet to be set, Tingyi said in a filing with the
Taiwan Stock Exchange. [ID:nTP131637]

* Aviation-to-property conglomerate Swire Pacific (0019.HK)
(0087.HK) said on Monday that it was considering a separate
main-board listing for property division Swire Properties Ltd.
[ID:nHKG129751]

The South China Morning Post, citing bankers specialising in
new listings, said the spinoff could raise HK$30 billion ($3.9
billion).

----------------------MARKET SNAPSHOT @ 2255 GMT ------------

INSTRUMENT LAST PCT CHG NET CHG

S&P 500 .SPX 1042.88 0.65% 6.690

USD/JPY JPY= 90.35 0.08% 0.070

10-YR US TSY YLD US10YT=RR 3.4239 -- 0.035

SPOT GOLD XAU= 1058.35 -0.08% -0.800

US CRUDE CLc1 78.13 0.00% 1.130

DOW JONES .DJI 9789.44 0.79% 76.71

ASIA ADRS .BKAS 120.11 1.03% 1.22

-------------------------------------------------------------

MARKET SUMMARY
>Wall Street ends higher on factory, housing data [nN02464128]
>Oil rises on US, China manufacturing data [nSYD489490]
>Strong economic data dents demand for US govt debt [nN02386730]
>US dollar, yen slip in choppy trading [nN02498823]

(Reporting by Jun Ebias; Editing by Jonathan Hopfner)