Hong Kong stock market finished session higher on Tuesday, 04 May 2021, as investors chased for bargain hunting after more than 3% losses in previous two sessions, with energy stocks leading the gains.
At closing bell, the benchmark Hang Seng Index added 0.7%, or 199.60 points, to 28,557.14. The Hang Seng China Enterprises Index climbed up 0.49%, or 52.72 points, to 10,765.72.
The sub-index of the Hang Seng tracking energy shares rose 2.3%, while the IT sector edged up 0.05%, the financial sector climbed 0.78% and the property sector gained 0.52%
Shares of with energy companies advanced on tracking strength in crude oil prices.
Sinopec led gainers among blue chips, rising 4.1% to HK$4.08, while PetroChina added 3.5% to HK$2.92
By Addison Gong
08.30 AM
In this round-up, China’s macro leverage drops on a year-on-year basis for two consecutive quarters, Ping An Insurance Group plans to invest up to Rmb50.75bn ($7.84bn) in troubled conglomerate Peking University Founder Group, and the securities regulator has put more weight on the pre-listing education process of domestic IPO candidates.
China held a politburo meeting last Friday. The country’s macro policies will be “consistent, stable, sustainable” and have “no sharp turns”, notes from the meeting said. Prudent monetary policies will be adopted to maintain “reasonable and ample liquidity”, and to keep the renminbi exchange rate “basically stable at a proper and balanced level”. The country pledged to develop the new energy sector and continue working on reducing carbon emissions, and facilitate the recovery of the manufacturing sector as well as private investments.
Ping An Insurance stock slammed after US$11 billion plan to reorganise assets of bankrupt Peking University Founder group
Ping An and Huafa Group to take up 73 per cent in new entity that will assume Founder’s assets, while 27 per cent is set aside to repay creditors
A separate filing in Beijing shows the restructuring could reach between 53.7 billion yuan and 73.3 billion yuan
By Morgan Davis
07.45 AM
The shock from this month’s stunning slump in China Huarong Asset Management Co s dollar bonds may have eased slightly, following a rally this week after supportive comments from the Chinese government. But the incident should trigger a more critical look at the risks and rewards of buying state-owned international bonds.
The Asian bond market was shaken this month after China Huarong Asset Management Co failed to publish its full year 2020 results, while offering little clarification about the reasons behind the delay.
The result was a drop in new bond issuance from China, as well as a repricing of Huarong s secondary curve. Last Thursday, Huarong s dollar notes were trading with cash prices in the 60s area, while its perpetual bonds dipped into the 50s region.
The Chinese Military Network Behind the World’s Third-Largest Cell Phone Maker
Xiaomi was blacklisted by the Trump administration as a military-owned company controlled by the CCP
Xiaomi, the world’s third-largest cell phone maker and China’s second-largest, denied its connections to the military after it was blacklisted by the Trump administration as a military-owned company controlled by the CCP, but a closer look at the background and connections of its founder and CEO, Lei Jun, led to the discovery of a huge and tightly interwoven network of ties with the Chinese Communist Party’s (CCP) military.
Xiaomi: Blacklisted and Denial