HK Hot Stocks - Li & Fung dives, resources rally

HONG KONG, Aug 14 (Reuters) - At 0222 GMT, the Hang Seng Index .HSI was 0.1 percent lower at 21,264.50.

The China Enterprises Index .HSCE of top locally listed Chinese firms fell 0.1 percent.

Here are some of the stocks on the move in early trade-

*Commodity stocks rallied after oil snapped its three-day losing streak and lifted other commodity prices on data showing declines in U.S. fuel & crude inventories.

Offshore oil producer CNOOC (0883.HK) surged 5.8 percent, leading gains on the main index. China Shenhua Energy (1088.HK), the world's most valuable coal miner, was top of the heap among H-share advancers with a 4.3 percent rally.

Gold Miner Zijin Mining (2899.HK) shot up 6.2 percent while Aluminum Corp of China (2600.HK) jumped 5.3 percent.

*China Cosco (1919.HK) added 5.7 percent to Wednesday's 6 percent rally after HSBC upgraded the stock to overweight from neutral, taking into consideration a recent rout which has reduced its valuation to a historically low level.

*Shares in U.S.-focused consumer goods sourcing firm Li & Fung (0494.HK) plunged 7.3 percent on Thursday after the firm posted lower-than-expected 18 percent growth in first-half net profit.

Deutsche Bank cut its target price for Li & Fung to HK$23.7 from HK$32 and revised down its net profit estimates by 8 to 15 percent for 2008 to 2010 taking the view that Li & Fung would not be able to achieve its 3-year EBIT (earnings before interest and tax) target of US$1 billion.

*Hong Kong Exchanges & Clearing (HKEx) (0388.HK) which reported a 6 percent dip in second quarter earnings on Wednesday, fell 4.9 percent after warnings of more challenging times ahead.

A sharp drop in trading volumes and lower investment income are expected to thrust the company into at least two more quarters of negative earnings growth, analysts said.

JPMorgan downgraded the firm from neutral from overweight, saying falling market capitalisation would probably continue to drag down turnover velocity in the next three months.[ID:nHKG136633]

(Reporting by Parvathy Ullatil; Editing by Jonathan Hopfner)