China stocks firm ahead of holiday; Hong Kong follows Asian markets lower

viernes 30 de septiembre de 2016 01:22 GYT

* SSEC 0.1 pct, CSI300 0.3 pct, HSI -1.3 pct

* Caixin PMI offers fresh signs of nascent economic recovery

* China market may rebound after holiday on improving liquidity

SHANGHAI, Sept 30 (Reuters) - China stocks were firm on Friday, with sentiment aided by signs of a nascent economic recovery, the yuan's imminent inclusion in the Special Drawing Rights (SDR) basket, and expectations that short-term liquidity will improve after China's week-long National Day holiday.

But Hong Kong shares fell more than 1 percent, tracking weakness in most Asian markets and overnight losses on the Wall Street.

China's blue-chip CSI300 index rose 0.3 percent, to 3,254.55 points by lunch break, while the Shanghai Composite Index gained 0.1 percent, to 3,002.81 points.

The Caixin/Markit PMI index rose to 50.1, showing China's factory activity expanded in September as domestic and export orders picked up, adding to evidence that China's economy is improving, albeit slowly.

"This suggests that the positive momentum seen in the activity and inflation data over the past few months will likely be sustained," wrote Julia Wang, HSBC's Greater China economist.

Wang expected growth to remain supported by fiscal expansion in the second half, while overall monetary policy would likely remain accommodative.   Continuación...