THE meeting of the Sino-British Joint Liaison Group and the resumption of talks on the new airport will see investors return to the market on an optimistic note after the long weekend, brokers say. Analysts welcome the announcement from the Sino-British Airport Committee after the close of trading on Friday that talks would continue on June 18, saying the market is likely to move forward following profit taking at the end of last week. ''The market is fairly valued pending further announcements, so we will take a direction from the [Joint Liaison] meetings,'' said Philip Pitchard, assistant director of SBCI Securities. Turnover is expected to remain buoyant. Brokers noted that liquidity in the market is being held up by mainland Chinese investment, which entered the Hongkong market following the yuan's devaluation at the beginning of the month. Many institutional investors sat on the sidelines last week, and are likely to take a more cautious approach this week. ''The focus is likely to remain on second and third liners,'' said Mr Pitchard. At the close on Friday, the Hang Seng Index had climbed 6.16 points finishing at 7,266.74 on a turnover of $3.79 billion. This followed a 78.5-point loss the previous day resulting from investors taking profits ahead of the long weekend. The Chinese currency devaluation factor, which has been effecting sentiment for the past two weeks, could now be a positive one, according to Rory McAllister, director of HG Asia. ''I think people now realise that things in China would be worse in the long run [if the renminbi was not devalued], so the market is on a positive,'' he said. However Mr McAllister warned that in the longer term investors are expecting a number of cash calls on the market, in the form of new issues and companies undertaking projects which are trying to reduce their gearing. ''The effect on the market depends on the size of the cash calls, but raising cash is what stock markets are there for,'' he said. Having seen the Hang Seng Index climb by 33 per cent already this year, Mr McAllister said he would like to see the market ease off to 7,000 and take a breather before continuing ahead.