HSI Rebounds 426 pts

After opening up 283 pts, Hang Seng Index once recorded a widened increase of 498 pts. The benchmark index continued the uptrend after the midday and ended at 21,701, up 426 pts or 2%. Hang Seng China Enterprises Index advanced 194 pts or 2.08% to 9,538. The market turnover amounted to $67.87 billion.
Financial stocks fared well. HSBC HOLDINGS (00005.HK)  +1.200 (+2.037%)    Short selling $153.77M; Ratio 14.689%   and AIA (01299.HK)  +1.050 (+2.313%)    Short selling $172.36M; Ratio 16.966%   shot up 2% and 2.3%. In November, the new RMB loans in four major Chinese banks equaled RMB121 billion. BANK OF CHINA (03988.HK)  +0.070 (+2.102%)    Short selling $150.68M; Ratio 15.655%   and ICBC (01398.HK)  +0.110 (+2.461%)    Short selling $146.85M; Ratio 11.062%  leaped 2.1% and 2.5%. CHINA LIFE (02628.HK)  +0.400 (+1.600%)    Short selling $111.59M; Ratio 14.562%   and PING AN (02318.HK)  +0.600 (+1.444%)    Short selling $281.49M; Ratio 31.954%   picked up 1.6% and 1.4%.

TENCENT (00700.HK)  +4.300 (+2.915%)    Short selling $554.03M; Ratio 25.462%   jumped 2.9% to $151.8. ALI PICTURES (01060.HK)  +0.100 (+5.556%)    Short selling $3.36M; Ratio 1.941%   announced that the group agreed to invest approximately US$86 million in the proposed privatization of Bona Film Group. Its share price surged by 5.6%. Other software developers headed north as well. CHINASOFT INT'L (00354.HK)  +0.120 (+3.810%)    Short selling $3.49M; Ratio 12.520%   and NETDRAGON (00777.HK)  +0.500 (+2.079%)    Short selling $858.38K; Ratio 4.332%   increased 3.8% and 2%.

Oil and petrochemical stocks went higher. National Development and Reform Commission decided to suspend the adjustment of domestic refining oil prices. UBS commented that the move supported the margins of refining oil. SHANGHAI PECHEM (00338.HK)  +0.370 (+13.910%)    Short selling $1.60M; Ratio 0.701%   rocketed 13.9% to $3.03. SINOPEC CORP (00386.HK)  +0.320 (+7.323%)    Short selling $128.63M; Ratio 14.530%   soated 7.3% to $4.69, being the best performing blue chip. New York oil prices rebounded. CNOOC (00883.HK)  +0.270 (+3.418%)    Short selling $178.71M; Ratio 31.750%   and PETROCHINA (00857.HK)  +0.250 (+4.950%)    Short selling $83.58M; Ratio 16.285%   perked up 3.4% and 5%.

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