August 31, 2017 / 8:27 AM / in 3 months

Hong Kong stocks fall, but record 8th month of gains

SHANGHAI, Aug 31 (Reuters) - Hong Kong stocks eased on Thursday, but posted an eighth successive month of gains as China’s economic recovery and continuous money inflows from the mainland sustained the bullish momentum.

The Hang Seng index fell 0.4 percent, to 27,970.30, while the China Enterprises Index lost 0.7 percent, to 11,295.44 points.

But for the month, the Hang Seng gained 2.4 percent, underpinned by further signs of an expanding Chinese economy. The HSCE, which tracks Chinese firms, was even more bullish, up 4.3 percent in August.

China’s manufacturing sector unexpectedly accelerated in August, an official Purchasing Managers’ Index (PMI) released on Thursday showed, although some analysts question whether such a trend is sustainable.

Sector performance was mixed on Thursday.

The financial sector, which has jumped nearly 24 percent this year, softened after China’s biggest banks reported healthy earnings results, as some investors took profits.

Resources shares, which have outperformed the broader market on the back of high-flying commodity prices, continued to strengthen, up 0.8 percent.

China Railway Group, one of the country’s biggest construction companies, jumped 4 percent in Hong Kong, as investors cheer the firm’s solid half-year growth.

Weichai Power, a Chinese maker of internal combustion engines, also leapt on the back of solid earnings. (Reporting by Samuel Shen and John Ruwitch; Editing by Jacqueline Wong)

Our Standards:The Thomson Reuters Trust Principles.
0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below