HSI Ekes Out Gains In See-saw Trade

Local shares closed with small gains on Wednesday over news of the city's largest national security-related arrests to date.

Investors were also awaiting the results of the US Senate run-offs that could change the balance of power in Congress.

The Hang Seng Index opened lower and switched between positive and negative territories amid heavy trading. Losses widened to more than 200 points at one stage before the index returned to the black, closing 42 points or less than 0.2 percent higher at 27,692.

Turnover was robust at HK$218.1 billion.

Xiaomi was the biggest loser on the index, plunging almost 4 percent, after UBS downgraded the mainland smartphone maker and cut its target price.

But Alibaba surged 3.1 percent following reports that it plans to raise US$5 billion by selling US dollar bonds.

Meituan was Wednesday's top gainer, soaring 4.5 percent.

The mainland's three major telecom firms – China Mobile, China Unicom and China Telecom – all finished higher, climbing between 1.2 and 3.7 percent each as they shrugged off news that the New York Stock Exchange might make another U-turn to delist the companies which have been blacklisted by the Trump administration.

Across the border, the blue-chip CSI300 index extended gains and added 0.9 percent after topping its highest levels since 2008. The Shanghai Composite index rose for a fifth day to finish up 0.6 percent. But the Shenzhen Composite index was flat.

Most regional markets were lower. The Nikkei in Japan slipped 0.4 percent as the government there considered imposing a state of emergency for the Tokyo metropolitan area. South Korea's Kospi trimmed three quarters of a percent. Australia slid 1.1 percent. Taiwan inched down 0.1 percent.

In commodities, oil prices held firm after touching their highest in 11 months as Saudi Arabia pledged to make extra output cuts, while most other allied producers agreed to hold steady in an Opec+ meeting.