Hong Kong stocks fall from 8-month high as investors book profits

* HK->Shanghai Connect daily quota used 5.6%, Shanghai->HK daily quota used 4%

* HSI -0.2%, HSCE -0.4%, CSI300 -0.3%

* FTSE China A50 -0.4%

Jan 14 (Reuters) - Hong Kong stocks reversed gains to end lower on Tuesday as investors pocketed gains following a strong rally underpinned by optimism towards the signing of a Phase 1 Sino-U.S. trade deal.

** The Hang Seng index closed lower 0.2% at 28,885.14 after rising as much as 0.7% to an eight-month high, while the China Enterprises Index lost 0.4% to 11,355.37.

** The U.S. Treasury Department on Monday dropped its designation of China as a currency manipulator, days before top officials of the world’s two largest economies were due to sign a preliminary trade agreement to ease an 18-month-old tariff war.

** China has pledged to buy nearly an additional $80 billion of manufactured goods from the United States over the next two years, plus over $50 billion more in energy supplies, according to a source briefed on a trade deal to be signed on Wednesday.

** It’s quite understandable to see some profit-taking following recent strong gains, said Linus Yip, an analyst with First Shanghai Securities, while expressing optimism about the Hong Kong market in 2020 due to the easing of Sino-U.S. trade tensions and signs of stabilisation in China’s economy.

** China’s exports rose for the first time in five months in December and by more than expected, signalling a modest recovery in demand as Beijing and Washington agreed to defuse their prolonged trade war.

** Hong Kong’s chief executive Carrie Lam and top finance officials praised the Chinese-ruled city’s resilience as a global financial hub on Monday amid more than six months of often violent pro-democracy unrest.

** Around the region, MSCI’s Asia ex-Japan stock index was firmer by 0.17%, while Japan’s Nikkei index closed up 0.73%.

** The yuan was quoted at 6.8816 per U.S. dollar at 08:17 GMT, 0.16% firmer than the previous close of 6.8925.

** At close, China’s A-shares were trading at a premium of 27.17% over Hong Kong-listed H-shares. (Reporting by the Shanghai Newsroom; Editing by Subhranshu Sahu)