Financials, energy shares lead gains in Hong Kong stocks
HONG KONG Oct 7 (Reuters) - Hong Kong shares rose more than 1 percent on Wednesday, lifted by financials and continued gains in the energy sector.
The Hang Seng rose 1.1 percent to 22,071.80 points by the midday break, their highest level in three weeks, while the Chinese Enterprise Index that tracks Chinese companies listed in Hong Kong climbed 2.6 percent to 10,189.50.
Financials took the lead in Hong Kong on growing expectations that the U.S. Federal Reserve may wait till next year to start raising interest rates after weak job numbers on Friday.
Bank of China rose 2.9 percent, Industrial and Commercial Bank of China Ltd 2.4 percent, and BOC Hong Kong Holdings Ltd 2.1 percent.
Energy companies also jumped after a surge in oil prices overnight, with CNOOC rising 9.1 percent, PetroChina up 7.1 percent, and Kunlun climbing 5.4 percent.
"This is a very concentrated recovery, and not an across-the-board recovery," said Alex Wong, director of Ample Finance Group. "We are seeing a recovery in the weakest sectors of the last few months, such as banks and resources."
On Wednesday morning, investors also locked in gains after the recent strength of some strong performers, brokers said.
Tencent was down 0.3 percent and CK Hutchison Holdings was down 0.5 percent, while property companies Hang Lung Properties and Henderson Land Development saw decreases.
With corporate earnings due soon in the U.S., and a series of IPOs in the pipeline in Hong Kong, including IMAX China and Regina Miracle, which will be listed on Thursday, analysts expect some market volatility in the near-term.
China's markets were closed for the National Day holiday, and will resume trading on Thursday. (Reporting by Jessica Macy Yu; Editing by Kim Coghill)
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