THE stock market is preparing for a bumpy ride this week, as it is buffeted by shockwaves from Friday's rout on world markets and the poor results expected from some of Hong Kong's leading companies. Government intervention in the stock market appeared to wane on Friday but many believe the battle with speculators is not over yet. Tai Fook Securities deputy managing director Lennon Chan Wing-luk said: 'It's tactics' - the apparent stall was likely to be temporary. He said the Government was 'psychologically prepared' for the medium-term. 'If it's going to win the battle, it can't back out at the moment,' he said, predicting the week would be volatile. With results from Cheung Kong (Holdings) and Hutchison Whampoa due out this week, many people will watch the level of provisions. The Government is set to announce second-quarter growth figures, which it has already said will be negative. Estimates suggest the figures could be a low as minus 4.5 to minus 5 per cent. A taste of things to come could be found in the futures market, with the Hang Seng Index August futures contract plummeting almost 200 points, or 2.5 per cent, in the last few minutes of trade on Friday. Hong Kong is also expected to experience some fallout from Friday's falls on Latin American stock markets and continuing problems surrounding the devaluation of the rouble. Most brokers expect a volatile week as intervention continues but believe some calm has returned to the market. SG Securities institutional sales head Tim Jacobson said: 'After the initial surprise, investors are learning to live with it.' Brokers estimated the Government might have spent $6 billion to $8 billion since it began buying up Hang Seng Index shares on August 14, a move that pushed the HSI 13 per cent higher, to 7,527.61, by Friday's close. Few expect the intervention to continue at such high levels in the coming week. Despite widespread criticism of the Government action, many admitted it had helped shore up the currency. 'In the short term, it's been quite successful,' Mr Jacobson said. ABN Amro Asia regional economist Eddie Wong Yiu said he felt the Government had taken the right approach. If it had chosen to defend the peg by forcing further interest rate rises, the banks would have tightened their grip on credit, putting even greater pressure on local businesses. The battle with speculators was far from over, but some analysts predicted the Government would stay in the trenches if world problems started to create havoc in local markets.