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Lu comment buoys index

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COMMENT by Hongkong-Macau Affairs chief Mr Lu Ping that he would like to see the new airport built before 1997 has been met with various reactions from analysts.

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And predictions among these analysts on the effect Mr Lu's announcement will have on the market this week were mixed.

On Friday, the market clearly seem encouraged by the comment, which was seen by some as a sign that relations between China and Britain were thawing.

The index closed at 6,341.25, up 94.28 points.

Following the announcement, the futures market also started trading at a premium, an indication that market sentiment had shifted. Previously, futures had been trading at a discount.

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But opinions vary among analysts as to the course the market would take this week.

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