BARRING any real positive news, the market is expected to experience a short-term correction this week.
Brokers predict the Hang Seng Index will manage to stay above the 8,300 support level after some disappointing profit announcements were released last week.
There are two events which could have a major short-term influence on the market.
The US Federal Open Market Committee meets on Tuesday and two Hong Kong government land auctions are held this week.
The Federal Reserve committee will decide whether to raise interest rates, but it is widely expected to leave them unchanged.
'Although indications concerning the growth of the US economy have been mixed, our read is the overall picture is one of moderating economic growth,' said Eugene Law, research director of Standard Chartered Securities.
At the auctions, it is expected major developers will bid selectively to replenish their land banks, as was the case at the last auction on March 14.
