Nomad Investors

Deutsche Bank, in its latest report, stated that no new tightening measures for mid- and small-size residential units have been covered in the Budget. The government is planning to sell 29 pieces of residential sites in FY15/16, 16 of which will be new sites. It is predicted that a total of 19,000 new residential units could be produced, which would be less than the 20,000 units produced from the residential sites sold in FY14/15. These signify that the land supply is not rising at a faster pace to restore the current imbalance in the local property market. The research house prefers developers over landlords given their residential exposure with higher asset turnover and more stable IP portfolios. Top picks are NEW WORLD DEV (00017.HK)    +0.040 (+0.434%)     Short selling $4.46M; Ratio 5.233%    , CHEUNG KONG (00001.HK)    +0.700 (+0.463%)     Short selling $58.31M; Ratio 12.850%    , SHK PPT (00016.HK)    -0.100 (-0.081%)     Short selling $90.74M; Ratio 20.539%   

On the last trading day of the Year of the Horse, Hang Seng Index opened up 51 pts at 24,836 and mounted 86 pts at most amid a range-bound trade. It closed at 24,832, up 47 pts or 0.19%. Hang Seng China Enterprises Index advanced 67 pts or 0.56% to 12,066 at close. Market turnover amounted to $28.935 billion. The cumulative gain of 2014 for HSI and HSCEI was 2,797 pts (12.7%) and 2,248 pts (22.9%) respectively. Following the merger rumors regarding mainland oil companies, SINOPEC CORP (00386.HK)    +0.290 (+4.655%)     Short selling $70.42M; Ratio 3.304%    climbed 4.7% to $6.52 and became the best-performing stocks among blue chips and HSCEI constituents. PETROCHINA (00857.HK)    +0.270 (+3.100%)     Short selling $96.25M; Ratio 6.737%    escalated 3.1% and CNOOC (00883.HK)    +0.300 (+2.708%)     Short selling $25.64M; Ratio 2.891%    perked up 2.7%. KUNLUN ENERGY (00135.HK)    +0.130 (+1.686%)     Short selling $14.49M; Ratio 16.652%    headed north 1.7%. CHINA OI

Shenzhen Component Index and Shanghai Composite Index advanced for seven consecutive days. The SZCI peaked at 11,772 after midday, hitting a fresh high in over three and a half years. It closed at 11,718, up nearly 1.1%. The SHCI rose to 3,255 at most and finished at 3,246, up nearly 0.8%. Turnover of the Shanghai and Shenzhen market declined to RMB 263.3 billion and RMB249.3 billion respectively.