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Hong Kong shares rebound 1.73%

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(Globalpost/GlobalPost)

Hong Kong shares rose 1.73 percent Wednesday on bargain buying after a sell-off in the previous session and following a strong rally on Wall Street.

The benchmark Hang Seng Index added 376.44 points to end at 22,183.05 on turnover of HK$61.51 billion ($7.94 billion).

Traders moved in to pick up cheap plays after Tuesday's 1.08 percent loss that was fuelled by weak manufacturing activity data from China that added to recent concerns about the economy.

Adding to buying sentiment was a rally on Wall Street on the back of upbeat corporate results from giants including DuPont, Traveler and United Technologies.

The Dow ended 1.05 percent higher. However, it suffered a mid-session plummet after someone used the Associated Press news agency's Twitter account to tweet that there had been two explosions at the White House and President Barack Obama had been hurt.

The AP almost immediately announced it had been hacked and the message was false.

The S&P 500 added 1.04 percent and the Nasdaq jumped 1.11 percent.

In Hong Kong, footwear firm Belle climbed 6.1 percent to HK$12.86, while China Resources Power rose 3.2 percent to HK$24.45.

Offshore oil firm CNOOC added 1.89 percent to HK$14.04 while HSBC was 2.37 percent higher at HK$81.95 and Sino Land jumped 3.77 percent to HK$13.22.

Chinese shares closed up 1.55 percent. The benchmark Shanghai Composite Index rose 33.78 points to 2,218.32 on turnover of 79.0 billion yuan ($12.8 billion).

Dealers moved in after the index suffered a 2.57 percent dive on Tuesday.

"The market rebounded after a drastic fall yesterday, while strong first-quarter earnings in some sectors also boosted investor confidence," Zheshang Securities analyst Zhang Yanbing told AFP.

Among technology shares satellite communications firm Nanjing Panda Electronics hit its 10 percent daily limit at 8.90 yuan while Beijing Teamsun Technology jumped 9.92 percent to 6.65 yuan.

Home appliance maker Hisense Electric surged 9.92 percent to 16.73 yuan and Jiangsu Chunlan Refrigerating Equipment Stock rose 3.39 percent to 4.58 yuan.

Property developers rose on hopes for strong earnings after reports that combined profits of 32 property firms jumped more than 50 percent year-on-year in the first quarter.

Poly Real Estate added 1.87 percent to 11.97 yuan, while Gemdale rose 1.72 percent to 7.11 yuan.

dan/mtp

http://www.globalpost.com/dispatch/news/afp/130424/hong-kong-shares-rebound-173