* HSI -0.3 pct, H-shares -0.3 pct, CSI300 -0.4 pct
* Little impact from China GDP data
* Investors still expect more government support policies
By Chen Yixin and Kazunori Takada
SHANGHAI, Oct 21 (Reuters) - China shares eased on Tuesday, with pharmaceutical and property sectors hit by profit-taking and weak economic data, but losses were limited on optimism the government will roll out more policies to help industry amid a slowing economy.
Third-quarter growth data, which came in slightly better than expectations although at a six-year low, had little impact on the market, analysts said. ID:nB9N0RQ01A]
“In China, the economic environment is not the only factor driving the market. Other issues, such as government policies, are also significant for the market,” said Du Changchun, analyst at Northeast Securities in Shanghai.
The Shanghai Composite Index fell 0.3 percent to 2,350.4 points by midday. The CSI300 of the leading Shanghai and Shenzhen A-share listings also declined 0.4 percent.
Pharmaceutical stocks, which were the biggest outperformers on Monday, were main drags for the index due to profit-taking. Shenzhen Neptunus Bioengineering Co Ltd dropped 4.4 percent and Da An Gene Co Ltd slumped 5.2 percent.
The property sector also fell after data showed revenue from property sales dropped 8.9 percent during the January-September period, highlighting weakness in the sector. China Merchants Property Development Co Ltd declined 2.3 percent and AVIC Real Estate Holding Co Ltd dropped 2.5 percent.
Among gainers, sports-related shares rose after the State Council, China’s Cabinet, unveiled a series of measures to develop the sector.
Hong Kong stocks also edged lower as a weak Hong Kong dollar and worries over upcoming talks between the government and pro-democracy protesters hurt sentiment, analyst said.
By midday, the Hang Seng Index was down 0.3 percent at 23,012.31 points. The China Enterprises Index of the top Chinese listings in Hong Kong dropped 0.3 percent.
Hong Kong shares briefly rose following China’s GDP data before losing steam.
Andy Wong, senior investment analyst at Harris Fraser (International) Ltd in Hong Kong, said most economic data has had limited impact on the market with investors focusing more on the government’s response.
“In the market, some people may think if this is good data, the government may no longer have more easing policies,” he said.
The telecom sector fell after China Mobile posted weaker-than-expected quarterly results. By midday, China Mobile was down 1.8 percent.
$1 = 6.1206 Chinese yuan Additional reporting by Shanghai Newroom; Editing by Jacqueline Wong