Hong Kong shares rise on Sino-U.S. trade hopes, Powell patience

* Hang Seng index ends up 0.55 pct

* China Enterprises index HSCE rises 0.58 pct

* HSI financial sector sub-index 0.6 percent higher; property sector up 1.3 pct

Jan 11 (Reuters) - Shares in Hong Kong ended higher on Friday on signs of progress in Sino-U.S. trade negotiations and as U.S. Federal Reserve Chairman Jerome Powell reiterated that the Fed would be patient about interest rate hikes.

** At the close of trade, the Hang Seng index was 0.55 percent higher at 26,667.27 points. The Hang Seng China Enterprises index rose 0.58 percent to 10,454.95. ** U.S. Treasury Secretary Steven Mnuchin said Thursday that Chinese Vice Premier Liu He will “most likely” visit the U.S. capital later in January for trade talks. U.S. President Donald Trump said his country is “having tremendous success with China” in trade negotiations. ** Powell said the Fed will be patient in approving any further rate increases as officials gauge whether the U.S. economy will slow this year, helping to calm fears that fresh hikes will hurt already-troubled global growth. ** But investor concern over China’s growth is likely to continue as the country plans to set a lower economic growth target of 6-6.5 percent in 2019 compared with last year’s target of “around” 6.5 percent, sources told Reuters. ** The sub-index of the Hang Seng tracking energy shares rose 0.7 percent, while the IT sector rose 0.9 percent, the financial sector ended 0.55 percent higher and the property sector rose 1.27 percent. ** The top gainer on the Hang Seng was AAC Technologies Holdings Inc, which gained 5.11 percent, while the biggest loser was Sino Biopharmaceutical Ltd, which fell 3.88 percent. ** China’s main Shanghai Composite index closed up 0.74 percent at 2,553.83 points, while the blue-chip CSI300 index ended up 0.72 percent. ** Around the region, MSCI’s Asia ex-Japan stock index was firmer by 0.32 percent, while Japan’s Nikkei index closed up 0.97 percent. ** The yuan was quoted at 6.7458 per U.S. dollar at 08:18 GMT, 0.64 percent firmer than the previous close of 6.789. The currency is set for its best week since 2005. ** The top gainers among H-shares were Air China Ltd up 8.46 percent, followed by China Shenhua Energy Co Ltd , gaining 3.23 percent, and Postal Savings Bank of China Co Ltd, up by 3.14 percent. ** The three biggest H-shares percentage decliners were Anhui Conch Cement Co Ltd, which was down 2.46 percent, Dongfeng Motor Group Co Ltd, which fell 1.4 percent, and ZhongAn Online P & C Insurance Co Ltd, down by 1.3 percent. ** About 1.86 billion Hang Seng index shares were traded, roughly 121.9 percent of the market’s 30-day moving average of 1.52 billion shares a day. The volume traded in the previous trading session was 2.00 billion. (Reporting by Andrew Galbraith; Editing by Subhranshu Sahu)

Nuestros Estándares: Los principios Thomson Reuters.