Hong Kong stocks flat as investors turn cautious ahead of key data releases
- Electric vehicle makers rally after China Commerce Minister says accusations of EV overcapacity are groundless
- This week, China is due to release data on inflation and foreign trade while the central bank may also publish loans, money supply and aggregate financing data
The Hang Seng Index added 0.1 per cent to 16,732.85 at the close. The Hang Seng Tech Index slipped 0.2 per cent and the Shanghai Composite Index lost 0.7 per cent.
Budweiser Brewing slumped 5.7 per cent to HK$10.58 after Jefferies expected the brewer to report flat sales in the first quarter and peer China Resources Beer sank 4.8 per cent to HK$33.90.
“Given the lingering growth headwinds, we think more policy stimulus may be needed to stabilise growth, especially for the property sector, including stronger support for developer financing, more coverage of the ‘white-list’ scheme to ensure delivery of stalled projects, and more direct purchase of existing home inventory by local governments,” said Wang Tao, an economist at UBS Group.
Two companies started trading on the mainland exchanges. Changzhou Wujin Zhongru Electronic Technology, which makes lithium-battery accessories, jumped 74 per cent from its IPO price to 37.754 yuan in Shenzhen and Wuxi Dingbang Heat Exchange Equipment surged 65 per cent to 10.20 yuan in Beijing.
Other major Asian markets were broadly higher, tracking gains in US stocks buoyed by robust jobs data. Japan’s Nikkei 225 climbed 0.9 per cent, while South Korea’s Kospi rose 0.1 per cent and Australia’s S&P/ASX 200 added 0.2 per cent.