Nikkei:10,004.20 (+154.46) Hang Seng:23,633.25 (-87.56) Shanghai Comp:2,932.2 (+20.68)
CHINA SHARES rose on light volumes helped by defensive sectors, though they may follow Hong Kong stocks lower as investors persistently move money out of commodity-related sectors on uncertainty over the growth outlook.
Utilities, in particular independent power producers, outperformed on expectations power shortages would boost demand while a stall in the commodity rally continued to weigh on cyclical stocks such as oil and coal.
Hong Kong’s Hang Seng ended down 0.4 per cent as large-cap financials shed early gains despite Chinese banks reporting robust first-quarter results last week. The China Enterprises Index of top locally listed mainland companies fell 0.8 per cent.
The Shanghai Composite Index ended up 0.7 per cent but A-share turnover, at 9.6 billion yuan (€996.5 million), remained 20 per cent below the average over the past month, suggesting investors were cautious about participating in markets. “The rebound is not supported by volume, so it’s likely to be a short-term rebound,” said Cao Xuefeng, head of research at Huaxi Securities in Chengdu.
Japan’s Nikkei was closed for a public holiday. – (Reuters)
