April 24(Reuters) - Hong Kong’s main share index ended firmer on Friday, bolstered by hopes of more capital inflows from mainland investors.
The Hang Seng index rose 0.8 percent, to 28,060.98, bringing this week’s gain to 1.5 percent. The China Enterprises Index reversed early losses and gained 0.1 percent, to 14,488.99 points.
Zhao Yang, fund manager of Bosera Asset Management Co, which is launching a mutual fund to invest in the city’s markets, said he expected inflows from Chinese mutual funds and insurers to continue, and the valuation gap between Hong Kong and China-listed stocks to narrow further.
His view was echoed by brokerage China Investment Securities, who wrote on Friday: “In the short term, Hong Kong stocks are vulnerable to the mood in mainland markets. But with money flowing in and the Hong Kong dollar holding strong, the market is still in an upward trend.”
Among the most actively traded stocks on Hong Kong’s main board were CCT Land, unchanged at HK$0.02 Ping Shan Tea, up 4.4 percent to HK$0.07 and China LNG Group , up 16.1 percent to HK$2.24.
Total trading volume of companies included in the HSI index was 2.5 billion shares. (Reporting by Samuel Shen and Kazunori Takada; Editing by Simon Cameron-Moore)