HONG KONG, August 22 (Reuters) - Hong Kong shares are set to
extend their losses on Thursday, after the U.S. Federal Reserve
failed to put to bed worries about an imminent reduction of its
massive stimulus, while investors will remain cautious ahead of
a Chinese manufacturing report due later.
On Wednesday, the Hang Seng Index closed down 0.7
percent at 21,817.73, its lowest finish in more than a week. The
China Enterprises Index of the top Chinese listings in
Hong Kong fell 0.5 percent. Each has dropped more than 3 percent
in the past four days.
The HSBC China flash manufacturing purchasing managers index
(PMI) for August, the earliest indicator of manufacturing
activity in the mainland for the month, is due at 0145 GMT.
Investors will be keen to gauge the details of the report after
a handful of recent data suggested the worst may be over for the
world's second-largest economy.
Elsewhere in Asia, Japan's Nikkei was down 1
percent, while South Korea's KOSPI was down 1.3 percent
at 0051 GMT.
FACTORS TO WATCH:
* ZTE Corp expects to post a third
quarterly net profit for the July-September period, thanks to
cost-cutting measures and as the world's No. 5 telecom equipment
and smartphone maker shunned the low-margin contracts that led
to it posting losses last year.
* China's Gezhouba Group Corp and Argentina's
Electroingenieria have been awarded contracts to build two
hydroelectric dams in the Patagonia region for $4.1 billion, the
Argentine government said in its official gazette on Wednesday.
* The London Metal Exchange (LME), which is owned by Hong
Kong Exchanges and Clearing Ltd, has listed six
warehouses in its new delivery location, the Taiwan port of
Kaohsiung, effective from Nov. 21, the exchange said on
* China's Everbright Securities has been ordered
to suspend lead-underwriting any new debt financing instruments
of non-financial enterprises in the country's inter-bank bond
market, the company said on Wednesday, after a computer glitch
caused a trading loss of $32 million.
* State-backed China Resources Enterprise Ltd said
on Wednesday it had bid for Hong Kong's biggest supermarket
chain, a move analysts said would help the beer-to-retail
conglomerate expand market share through a quality brand.
* Sinopec Corp's subsidiary refinery in China's
northern province of Hebei began a full-plant shutdown on
Tuesday for regular repairs that will last 40 days, an industry
* China's Bank of Communications Co Ltd
posted a 12 percent rise in net profit for January-June, its
weakest first-half in four years, due to slowing loan growth and
compressed interest margins.
* China's Bank of Communications
appointed Peng Chun as its new president following the
resignation of Niu Ximing from that role, the country's
fifth-largest lender said.
* China Telecom Corp Ltd said on Wednesday its
handset subsidies rose by 22 percent to 14.08 billion yuan in
the first half, as it spends more after bringing in the iPhone
last year. Biggest rival China Mobile Ltd saw its
handset subsidies increase by around 18 percent in the first