China, Hong Kong stocks track global rebound as Beijing soothes investors

miércoles 29 de junio de 2016 00:49 GYT

* CSI300: +0.3 pct; SSEC: +0.5 pct; HSI: +0.7 pct

* Chinese authorities soothe investors after Brexit

* Vanke shares fall again as power struggle deepens

SHANGHAI, June 29 (Reuters) - China and Hong Kong stocks joined a global market rebound on Wednesday morning as panic triggered by the Brexit vote eased, and Chinese authorities moved to calm investor sentiment.

China's blue-chip CSI300 index rose 0.3 percent, to 3,146.75 points by the lunch break, while the Shanghai Composite Index gained 0.5 percent, to 2,926.46 points.

In Hong Kong, the benchmark Hang Seng index rose 0.7 percent. But the Hong Kong China Enterprises Index lost 0.3 percent.

And in an apparent effort to ease fears of rapid yuan depreciation, China's two main official securities newspapers said in front-page articles on Wednesday that there has been no panic selling of the yuan, and market expectations for the currency's value remained steady.

This followed similar remarks by China's central bank on Tuesday, amid fears that Beijing may be considering devaluing the currency again after Brexit.

In a report published this week, BofA Merrill Lynch Global Research said it expected the yuan to depreciate to pick up, which could trigger more capital outflows, potentially tightening financial conditions.   Continuación...