China stocks up on expectations of more policy easing, Hong Kong lags
* CSI300 +0.57; SSEC +0.21; HSI -0.78;
* Policy support expectations stabilise market
* Chinese telecom shares up on Qualcomm fines
SHANGHAI, Feb 11 (Reuters) - China shares rose for a third straight day on Wednesday after the central bank vowed to support economic growth, but investors were reluctant to chase stocks too high on concerns that the rebound was due to technical factors and may be short-lived.
The People's Bank of China made clear on Tuesday it was ready to fight any downturn in the world's second-largest economy, but added it would avoid "pumping out" too much cash.
The comments reinforced expectations that more policy easing is on the cards. Such a view has helped fuel a stock market surge of nearly 30 percent in the last few months, though the rally has shown signs of flagging in recent weeks as more firms issue profit warnings.
"We're seeing a technical rebound as expectations of further policy support help stabilise the market," said Shen Zhengyang, analyst at Northeast Securities.
"But we don't see fresh capital flowing in as the market doesn't guarantee red envelopes ahead of the Lunar New Year," he added, referring to the customary gifts of cash in red packets for the holiday.
The CSI300 index ended the morning session up 0.6 percent at 3,426.22 points, while the Shanghai Composite Index was up 0.2 percent. Continuación...