South China Morning Post
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Opinion
Stock Talk
by Jeanny Yu
Stock Talk
by Jeanny Yu

Market Open: Hong Kong seen higher on China's renewed highlight to boost strategic sectors

Hong Kong stocks may be boosted on Monday by China's latest attempt to bolster strategic industries, such new materials and energy-saving firms, in a bid to shore up growth.

Jeanny Yu
Jeanny Yu
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Hong Kong stocks may be boosted on Monday by China's latest attempt to bolster strategic industries, such new materials and energy-saving firms, in a bid to shore up growth.

By 2015, the output from the so-called strategic industries will account for eight per cent of gross domestic product (GDP) and 15 per cent by 2020, according to a statement from the State Council. The cabinet aims to invest 2.2 per cent of GDP in research and development in those  sectors, according to the statement.

On Friday, the Standard & Poor's 500-stock index closed down 0.11 points, or 0.01 percent, at 1,460.15. The Nasdaq Composite gained 4 points, or 0.13 percent, at 3,179.96. In London, the FTSE-100 Index lost 2.02 points, or 0.03 per cent, to end at 5,852.62.

Hot Stocks of the day:

Chinese property developers

China's home prices are in no condition to rebound, Shanghai Securities cited an official from the nation's housing regulator as saying on Monday. It said the share prices of developers such as China Overseas (0688.HK) and Poly Property (0119.HK) could face further   corrections.
China Molybdenum (3993.HK)
The company on Friday slashed its initial public offering in Shanghai to one-sixth of its previous target due to lackluster demand in  the onshore market. It now plans to raise 600 million yuan, down from 3.646 billion yuan that it previously set as its fundraising goal.
Standard Chartered (2888.HK)
The lender is likely to spend more than the US$340 million it said it had agreed to pay to settle allegations that it hid US$250 billion of transactions with Iran.The lender has signed a final agreement with the New York State Department of Financial Services.

Zijin Mining (2899.HK), Zhaojin Mining (1818.HK)
Gold hit a high for the year in Friday's trading on speculation that Spain may be working on a rescue request. December gold rose US$7.80 to finish at US$1,778 per ounce. Earlier Friday, it hit $1,790 per ounce, topping the previous 2012 high.

First Tractor (0038.HK)

The company plans to issue no more than 1.5 billion yuan worth of renminbi corporate bonds in the onshore market and will use proceeds to boost working capital and repay debt, it said.
China Dongxiang (3818.HK)
The company said its chief financial officer Hon Ping Cho will resign, with effect from October 1, to "pursue personal career developments". Qin Dazhong, an executive director and the company's chief operating officer will assume Hon's responsibilities. 
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