* HK shares decline for 5th straight session
* China shares snap four-day decline as property rebounds
* HSBC down on renewed concern over Dubai debt exposure (Updates to close)
HONG KONG/SHANGHAI, Dec 21 (Reuters) - Hong Kong shares fell for a fifth straight session to a 2-½ month low on Monday, with banks and property counters leading the slide on concerns about further measures to restrain property speculation, while China stocks rose as property rebounded.
Hong Kong shares extended losses in the afternoon, falling as much as 1.15 percent to a session low of 20,932.77 before the benchmark Hang Seng Indexended down 1.08 percent or 227.78 points at 20,948.10, its lowest close since Oct 6.
Brokers said the recent weakness of the Hong Kong dollar had triggered concern about liquidity outflows and investors had started to look at fundamentals as liquidity dried up.
"Concern over liquidity outflows discouraged players from taking aggressive positions," said Linus Yip, strategist from First Shanghai Securities. "There is no doubt that the downside correction will continue and may last for a short while."
Turnover fell to HK$49.69 billion ($6.4 billion), from Friday's HK$69.75 billion.
The China Enterprises Indexof top locally listed mainland Chinese stocks closed down 1.07 percent at 12,203.17.
Banks remained weak on worries they might need to make provisions against their Dubai exposure as debt-ridden conglomerate Dubai World [DBWLD.UL] was expected on Monday to ask key creditors for more time to pay off its loans while leaving unsettled the prospects of being paid back in full. [ID:nLDE5BJ01R]
Index heavyweight HSBCfell 1.09 percent to a HK$86.50, its lowest close since Nov. 5. Standard Chartered fell 1.78 percent to HK$187.80
Chinese banks and financial stocks remained soft on persistent worries that Beijing might cool a domestic lending binge. China Construction Bankfell 1.26 percent and ICBC was down 1.45 percent. China Life fell 3.97 percent.
Among consumer-related issues, Geely Autofell for a fourth straight session losing 9.87 percent to a more than four-week low of HK$3.56 as investors reassessed its valuations following a three-month run-up.
Wharf Holdingsfell 7.37 percent to HK$40.85 after a 6.65 percent rise last Friday. Sun Hung Kai Properties was down 1.5 percent at HK$112 and Cheung Kong fell 1.09 percent to HK$95.
Las Vegas Sands' Macau unit Sands Chinafell 5.91 percent to HK$9.23 on concern about competition in Macau's gaming industry. Las Vegas Sands , the world's No.2 casino operator by market capitalisation, said it could complete all of its five planned projects on Macau's Cotai strip within five years. [ID:nTOE5BK02T]
Rival Wynn Macaugained 1.69 percent to HK$9.64.
"In terms of debt structure, Wynn is a better choice than Sands China," said William Lo, analyst at Ample Finance Group.
Renhe Commercialrose 1.23 percent after it said it would realise a HK$2.16 billion ($278 million) gain from sales of a Zhengzhou development project.
SHANGHAI RISES AS PROPERTY REBOUNDS
China's key stock index rose 0.29 percent on Monday, breaking a four-day slide that had taken it to a three-week low, with the property sector rebounding after the index found technical support when it slipped through a key chart level.
The Shanghai Composite Indexended up 9.087 points at 3,122.973, after shedding 4.1 percent last week. Analysts said prospects for heavy supplies of new shares and other negative factors continued to weigh on sentiment despite the technically driven bounce.
Gaining Shanghai A shares outnumbered losers by 721 to 161, while turnover slipped to 90 billion yuan ($13.18 billion), the lowest in more than two months, from Friday's 116 billion yuan.
The index on Monday morning sagged below its 120-day moving average, now at 3,101 points, for the first time in seven weeks.
"The index staged a technical rebound after falling so fast," said Wen Lijun, analyst at Nanjing Securities, who added that the 3,000 point mark could offer solid support.
"The banking sector is under pressure from renewed worries over fundraising, while additional measures to curb property prices could emerge and hit the market at some point."
The Shanghai property sub-indexgained 0.99 percent after shedding 9.5 percent last week, while sector heavyweight China Vanke ended 1.23 percent higher at 10.72 yuan, reversing a 1.51 percent deficit as of midday.
Beijing has announced a number of measures to cool domestic real estate speculation, including stiffer rules for purchases of government land. The official Securities Times reported on Monday that more such steps may be imminent.
"This rebound is a weak one. The index is expected to remain sluggish for several days as a number of negative factors are still looming over the market," said Zhou Lin, senior analyst at Huatai Securities in Nanjing.
The banking sector was soft, with China Merchants Bankdown 2.1 percent at 16.82 yuan, while Bank of Nanjing dropped 1.85 percent to 18.60 yuan after saying it planned to raise up to 5 billion yuan via a rights issue to bolster its capital. [ID:nTOE5BJ015]
A senior banking regulator said over the weekend that Chinese banks would need to raise 500 billion yuan ($73.25 billion) from the capital markets next year as capital adequacy ratios had been stretched by expanded lending. [ID:nTOE5BK03K]
The index has been pressured over the past two weeks by concerns about rising share supplies.
China CNR Corp, one of the country's two big train makers, is taking subscriptions on Monday for its Shanghai IPO, aimed at raising as much as 13.9 billion yuan.
Environment-related shares were firmer, with Chinese wind power producer Xinjiang Goldwind Science and Technologygaining 1.07 percent to 27.44 yuan after the climate change summit in Copenhagen ended with only a bare-minimum agreement. [ID:nLDE5BI00Z] [ID:nLDE5BK05M] (Editing by Chris Lewis)
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