China Stocks Follow U.S. Markets Higher On Oil Jump
Hong Kong and Shanghai stocks extended their gains Wednesday morning after U.S. stocks rallied overnight on the back of jumping oil prices. The Hang Seng Index rose 0.6%, while the Shanghai Composite Index edged up 0.2%. In Hong Kong, energy names broadly advanced despite oil futures moving off their highs during early Asia trading. Cnooc Ltd. surged 5.1%, PetroChina Co. climbed 2.3%, and both Kunlun Energy Co. and China Petroleum & Chemical Corp. (Sinopec) moved up 1.8%. China Oilfield Services Ltd. also tacked on 2.9%. However, the growing fueling costs pushed airlines lower, with Air China Ltd. declining 2.8%, China Eastern Airlines Corp. falling 1.9%, China Southern Airlines Co. dropping 1.1%, and Hong Kong-based Cathay Pacific Airways Ltd. down 0.9%. Among the banks, top-weighted Hang Seng Index component HSBC Holdings PLC added 1.1%, and London-based Standard Chartered PLC spiked 4%. Hong Kong-based Hang Seng Bank Ltd. leapt 4.3%, after reports said it is considering selling its 10.9% stake in mainland Chinese lenderIndustrial Bank Co. Casino operator Wynn Macau Ltd. retreated 3%, as its fourth-quarter net profit shrank almost a third from a year ago. Rival MGM China Holdings Ltd. tumbled 3.3%, SJM Holdings Ltd. fell 1.6%, and Sands China Ltd. headed 1.5% lower.
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