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Investors drive the HSI back above 14,000 level

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HSBC contributes most of index's gains as robust US retail data and optimism on rates provide support

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Hong Kong stocks edged up yesterday, with the blue-chip index closing back above the psychologically important 14,000-point level, supported by strong United States retail data and optimism about the outlook for interest rates.

Brokers said trading was mixed and characterised by rotational buying as investors searched for fresh themes.

The bears held their positions ahead of US Federal Reserve chairman Alan Greenspan's testimony last night to the US Congress, with the Hang Seng Index trading within an 82-point range, brokers said.

The index opened 33.67 points higher and gradually climbed up to its intraday high of 14,044.83 points before profit taking drove it down to its intraday low of 13,962.84 in the afternoon session. It climbed back to close at 14,015.49, for a rise of 19.66 points on Tuesday's close.

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Most of the gains were contributed by HSBC. The banking giant rose 50 cents to $133, adding 17.9 points to the index.

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