Hong Kong shares close down 0.2 pct, developers slammed

Source : REUTERS
Last Updated: Mon, Oct 29, 2012 08:10 hrs

HONG KONG, Oct 29 (Reuters) - Hong Kong shares slipped on Monday as local developers tumbled on fears that new measures to cool soaring property prices will sap demand, but broader losses were limited by strong earnings by Chinese banks.

The Hang Seng Index ended down 0.2 percent at 21,511.1, the lowest close since Oct. 17. The China Enterprises Index of the top Chinese listings in Hong Kong finished up 0.9 percent at 10,546.2.

In the mainland, the CSI300 Index of the top Shanghai and Shenzhen listings shed 0.5 percent, its fifth-straight loss. The Shanghai Composite Index lost 0.4 percent. They each closed at their lowest since Sept. 26.

HIGHLIGHTS:

* Hong Kong real estate stocks reeled after the city's government imposed a new 15 percent tax on foreign and corporate real estate buyers and stiffened the resale stamp duty fees in the hope of calming property prices, which have surpassed historical highs hit in 1997. New World Development, which had soared more than 100 percent year to date, dived 6.4 percent.

* Agricultural Bank of China gained 3.1 percent and China Construction Bank rose 0.9 percent after both "Big Four" Chinese banks posted third-quarter earnings over the weekend that topped expectations.




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