Hong Kong shares may trim strong 2013 start after Fed voices concern
HONG KONG Jan 4 (Reuters) - Hong Kong shares could end a two-day rally on Friday, tracking Wall Street weakness after signs that the U.S. Federal Reserve has growing concerns about its stimulative monetary policy.
Any losses could be limited if mainland China markets reopen strongly on Friday, trading for the first day in 2013 after a three-day New Year holiday.
On Thursday, the Hang Seng Index ended up 0.4 percent at 23,398.6, its highest since June 1, 2011. The China Enterprises Index of the top Chinese listings in Hong Kong added 0.8 percent, reaching another peak since August 2011.
On the week, the indexes are up 3.2 and 5.5 percent, respectively. The H-share index's relative strength index (RSI) value suggests that it is now at its most overbought since October 2010.
Elsewhere in Asia, Japan's Nikkei is up 3 percent in its first trading session for the year, while South Korea's KOSPI is down 0.4 percent at 0042 GMT.
FACTORS TO WATCH:
* Consolidation of Austria's cutthroat telecom market moved ahead on Thursday when Hutchison Whampoa Ltd completed its 1.3 billion euro ($1.7 billion) takeover of Orange Austria, making it the country's third-biggest mobile operator.
* Hong Kong's Li & Fung Group agreed to acquire a majority stake in South Korean children's apparel maker Suhyang Networks for roughly 200 billion won ($188 million), a South Korean newspaper reported on Thursday.
* Hong Kong November 2012 retail sales rose 9.5 percent from a year earlier.
* Bestway International Holdings Ltd has cancelled part of its mining area in Mongolia due to the implementation of new regulations.
* Chinese property developer Kaisa Group Holdings Ltd has issued $500 million in senior notes due 2020 bearing an interest rate of 10.25 percent per annum.
* Chinese property developer Country Garden has issued $750 million senior notes due 2023 with an interest rate of 7.5 percent per annum.(Reporting by Clement Tan and Lee Chyen Yee; Editing by Matt Driskill)
- Tweet this
- Share this
- Digg this
- U.S. nurse quarantined over Ebola calls treatment "frenzy of disorganization"
- Wall Street finally turning on Amazon as Bezos magic fades
- Google executive sets new stratosphere skydive world record
- Former Cream frontman Jack Bruce dies aged 71
- São Paulo running out of water as rain-making Amazon vanishes