INFRASTRUCTURE plays captured the stock market's attention yesterday, with both Hopewell Holdings and New World Infrastructure blazing to new levels.
Sentiment towards the two quite different companies has changed suddenly during the week and some see the sector standing out over the next 12 months.
Elton Cheung, research director at Tai Fook Securities, said: 'The earnings outlook for infrastructure stocks is encouraging for the coming year. There should be a very strong market for them during 1996.' Hopewell added 30 cents, or 5.35 per cent, to end the day at $5.90, its highest level since September, on speculation the company would sell 30 per cent of its new infrastructure unit for $11 billion.
Hopewell had set a premium price for Consolidated Real Estates and Transport Asia, according to fund managers who met company officials.
New World Infrastructure, which listed last October, jumped $1.30, or 8 per cent, to $17.55 on news the New World Group had signed more projects in China.
Asia Equity analyst Osbert Tang suggested investors favoured infrastructure plays because they provided stable earnings and would be less influenced if the soaring Hang Seng Index went into consolida-tion.