Mainland Chinese stocks rose on Tuesday on heavy buying by retail investors flush with liquidity but the Hang Seng Index fell in tandem with major international markets amid fears over global economic fundamentals.
The Shenzhen Composite Index rose 2.19 per cent to 2,425.9 points, its highest close, while the Shanghai Composite Index closed up 1.56 per cent at 4,401.22 points in the third consecutive advance.
The outstanding margin purchases in the Shanghai and Shenzhen markets totalled 1.9 trillion yuan (HK$2.37 trillion) on May 7, said a CCB International report. This compares with the 1.6 trillion yuan of margin debt in April and is more than two-and-a-half times the figure six months ago.
The Hang Seng Index closed 1.12 per cent lower at 27,407.18 points while the H-share index fell 1.48 per cent to 13,973 points.
The turnover in the Hong Kong market was HK$138.84 billion. Northbound turnover of the Shanghai-Hong Kong Stock Connect was 6.86 billion yuan, while southbound was HK$5.21 billion.
Fosun International was the most heavily traded stock in Hong Kong, with a turnover of HK$11.36 billion.
From April 30 to May 6, Hong Kong equity funds saw inflows of US$94 million, compared to more than US$400 million a few weeks ago, CCB said.