HSI Slips As Investors Ignore Wall Street Signals

Hong Kong stocks finished slightly lower on Thursday as cautious traders ignored a record-breaking lead from Wall Street, with attention now on the release of US jobs data.

The Hang Seng Index eased 0.2 percent, to 28,795.

On the mainland, the Shanghai Composite Index gave up 0.3 percent, to 3,005 while the Shenzhen Composite Index dropped 0.6 percent, to 1,591.

Tokyo climbed 0.3 percent and Sydney jumped 0.5 percent, while Singapore was up 0.3 percent.

Seoul rose 0.6 percent, Taipei added 0.3 percent, and Mumbai put on 0.2 percent, with gains also in Jakarta, though Manila and Bangkok retreated.

Stephen Innes, at Vanguard Markets, said the fall in yields across several asset classes "has increased investor appetite for high dividend-yielding equity risk".

Investors were "hoping that this next wave central bank monetary infusion will provide a foundation to ensure the global cyclical bottom is set while offering a welcoming climate to extend this bullish trading cycle," he said.

The increasing likelihood of a Fed cut weighed on the US dollar, with riskier currencies such as the South Korean won, Australian dollar and Indonesian rupiah all strengthening.

The yuan was also slightly higher.

Oil prices fell more than one percent, giving up Tuesday's gains, with traders disappointed by the size of the drop in US stockpiles of the commodity, while worries over the global economic outlook weigh on demand expectations. (AFP)