Market Open:Hong Kong stocks seen higher as China manufacturing rises

Hong Kong stocks may open higher after data showed that manufacturing rose further in November month-on-month, adding another proof that the Chinese economy is bottoming out.

The November Purchasing Managers Index released by China's statistic bureau rose to 50.6 from 50.2 in October. "We expect improving fundamentals including rising PMI and earnings growth to support prices of China-related stocks, commodities and currencies," Lu Ting, Bank of America-Merrill Lynch economist, said in a note to clients.

On Friday, the Standard & Poor's 500-stock index closed up 0.23 points, or 0.02 per cent, to close at 1,416.18. The Nasdaq Composite lost 1.79 points, or 0.06 per cent, to 3,010.24. In London, the FTSE-100 Index lost 3.48 points, or 0.06 per cent, to end at 5,866.82.

Hot Stocks of the Day:

HSBC (0005.HK)
Europe's biggest bank said its acquisition of another UK-based bank Royal Bank of Scotland’s Indian retail and commercial banking business has failed, as the transaction deadline expired on Friday without the requisite conditions being met. When RBS announced the sale in July 2010, it had a US$1.8 billion price tag.

China Resources Land (1109.HK)

The company said it has agreed to acquire 55 per cent of a commercial and residential complex owned by its parent company in the city of Nanning in Guangxi province for around HK$2.12 billion.

CITIC Securities (6030.HK)
The broker said it has gained approval of Shenzhen Securities Regulatory Bureau to distribute financial products, extending the scope of its business in the mainland.