New | Chinese oil firms sink, but Tencent and property stocks jump
Chinese oil majors were the major victims of weaker-than-expected April retail sales and fixed-asset investment figures, highlighting mounting concerns over economic growth of the world’s second-biggest economy.
Shares of State-owend giant CNOOC dropped more than 2 per cent to a 10-day low of HK$12.5, while Sinopec gave up 0.9 per cent to HK$6.84, also a 10-day low. PetroChina shares slid 0.5 per cent to HK$9.37.
China’s April investment growth expanded less than 10 per cent, the first single-digit expansion since 2003, while retail sales grew 10 per cent last month, down from 10.2 per cent in March.
On the other hand, Tencent saw a 3 per cent jump in the company’s share price after the Chinese internet company delivered better-than-expected quarterly revenue due to a surge in advertising dollars from social media and entertainment platforms.
Mainland property stocks were also major gainers. China Vanke and Dalian Wanda Commerical Properites each jumped more than 3 per cent after the duo formed a strategic alliane that will focus on land acquisition and project development.
Analysts at Nomura said Tencent’s online ad revenues ramped up by 4 per cent on a sequential basis, despite the weak seasonality in the first quarter of 2015.
They said the streamlining of the two performance-based ad products from Weixin and SNG (Social Networking Group) into one has added visibility to its monetisation progress.
