Hong Kong Market ekes out gain

The Hong Kong share market ended higher after seesawing between gains and losses on Thursday, 29 August 2019, thanks to strong gains in healthcare stocks after pleasing earnings from sector heavyweights. Market uplift was also propelled on for a deal that end the year-long trade war between the world's two largest economies after China signaled trade talks with the US could be back on. At closing bell, the Hang Seng Index added 0.34%, or 88.02 points, to 25,703.50. The Hang Seng China Enterprises Index was up 0.12%, or 11.91 points, to 9,992.64.

China signaled trade talks with the US could be back on, fueling hopes for a deal that end the year-long trade war between the world's two largest economies. The US and China are discussing in-person trade talks that were scheduled for September, China's Commerce Ministry said on Thursday. China would prefer to settle the issue calmly and avoid further escalation of the trade war, Gao Feng, the ministry's spokesman, said in reports.

Shares of healthcare sector closed higher after better than expected earnings from blue chip companies. Sino Biopharmaceutical (1177 HK) surged 9.8% to HK$11.66, after it reported a 5.8% rise in net profit to 1.44 billion yuan for the first half this year. CSPC Pharmaceutical (1093 HK) rose 3.9%, to HK$16.1. Luye Pharma (2186 HK) rose 3.3% at HK$6.29, after it reported that net profit rose 36.2% to 766.6 million yuan.

Consumer staples were mixed. Uni-President China (00220) sank 0.6% to HK$8.9. Nissin Foods (01475) dived 6.3% to HK$6.4. Want Want China (00151) added 3% to HK$6.15. Tsingtao Brewery (00168) surged 5.21% to HK$54.5.

Shares of dairy producers were also lower, with China Mengniu Dairy (02319) led losses, down 5.8% to HK$31.5 as its interim earnings grew weaker than expected 33% to RMB2.08 billion. H&H International (01112) dipped 0.9% to HK$32.35. China Modern Dairy (01117) fell 1.7% to HK$1.19. YuanShengTai Dairy Farm (01431) shed 2.9% to HK$0.33. Ausnutria Dairy (01717) fell 1.8% to HK$11.12.

Citi (267 HK), the listed flagship of China's largest state-backed conglomerate Citic Group, closed up 1.3%, at HK$9.21, after it posted at lunch a 9.3% year-on-year rise in first half net profit to HK$33.52 billion.

Powered by Capital Market - Live News