HK, Shanghai Markets Rise Ahead Of Trade Talks

Hong Kong stocks ended on Wednesday morning on a positive note as investors look ahead to the conclusion of the Federal Reserve's latest policy meeting and the start of crunch China-US trade talks.

The Hang Seng Index rose 0.3 percent, to 27,610 by the break.

On the mainland, the Shanghai Composite Index gained 0.9 percent, to 2,596, while the Shenzhen Composite Index was flat, at 1,300.

Most other regional equities were mixed ahead of the crucial talks in Washington.

Tokyo went into the break 0.5 percent down. Wellington, Taipei and Manila were all lower but Sydney was flat, while Singapore and Seoul each edged up 0.1 percent.

The pound ticked up slightly in Asia after suffering heavy losses on worries about a possible no-deal Brexit. The UK parliament voted in favour of an amendment excluding a "no-deal" Brexit, although the result is not binding on on Prime Minister Theresa May.

"The pound fell because [the] vote leaves a no-deal Brexit on the table, but it has not collapsed into oblivion because at present there is no alternative to May's deal and we are not yet at the no-deal do-or-die moment," said Neil Wilson, chief market analyst at Markets.com.

"Could she really get it through at the last? It would be a remarkable coup."

But Minori Uchida, Tokyo head of global markets research at MUFG Bank, sounded a note of caution.

"Players are still thinking that a hard Brexit will be avoided in the end, but the optimism is groundless," he said. "Hard Brexit risks are still here." (AFP)

______________________________