Hong Kong shares rise 1.1pc to highest close since June 19

PUBLISHED : Wednesday, 10 July, 2013, 3:08pm
UPDATED : Wednesday, 10 July, 2013, 4:55pm

Hong Kong shares hit a three-week closing high on Wednesday, lifted by a resurgent mainland market with traders citing talk that Beijing may ease policy to boost growth in the wake of anaemic economic data.

The Hang Seng Index ended up 1.1 per cent at 20,904.6 points, its highest closing since June 19. The China Enterprises Index of the top Chinese listings in Hong Kong climbed 1.8 per cent.

These benchmarks had pared gains in the morning after data showed China exports fell for the first time in 17 months in June, stoking fears that second quarter growth will disappoint.

While June data met expectations for a $27.1 billion trade surplus, imports dipped 0.7 per cent, versus an expected 8 per cent growth, while exports dropped 3.1 per cent, far below a projection for 4 per cent growth.

Beijing is due to post monthly money supply and loan growth by July 15. Second quarter GDP is due on Monday, as are monthly urban investment, industrial output and retail sales figures.