Market Open: Hang Seng seen higher on Japan's easing plan
Hong Kong stocks may rise on Wednesday on speculation of more inflows into Asian markets buoyed by optimism that the Bank of Japan's open-ended asset purchase plan will weaken the yen further and prompt investors to buy riskier assets including equities.
On the policy side, Chinese regulators announced details to encourage mergers and acquisition activities in nine industries, including auto, steel, cement, shipping, rare earth, medicine and agriculture. Overseas, US stocks overnight gained due to strong earnings results.
Bao Yuan Holdings (0692.HK) said it plans to buy a wood and plastic product maker in the city of Zhongshan in the Pearl River Delta for HK$1 million. The firm will resume trading on Wednesday.
Yuzhou Property (1628.HK) is the latest mainland property developer to raise funds in the city through a share placement. The firm is raising up to HK$416 million through placing 166 million existing shares at a range between HK$2.4 to HK$2.5 per share, according to a term sheet.