HONG KONG, June 19 (Reuters) - Hong Kong shares may start
lower on Wednesday, with turnover likely weak as most investors
stay on the sidelines awaiting the outcome of a two-day U.S.
Federal Reserve rate-setting meeting later in the day.
On Tuesday, the Hang Seng Index closed flat at
21,225.88 points, while the China Enterprises Index of
the top Chinese listings in Hong Kong slipped 0.1 percent.
Elsewhere in Asia, Japan's Nikkei was up 1.8
percent, while South Korea's KOSPI was down 0.5 percent
at 0059 GMT.
FACTORS TO WATCH:
* China Mengniu Dairy Co Ltd signed a second
takeover deal in a month on Tuesday, offering to buy
Carlyle-backed Yashili International Holdings Ltd in a
deal worth about HK$12.5 billion ($1.6 billion) as part of a
plan to expand its milk powder business.
* Hong Kong's de facto central bank said on Tuesday that its
investigation into possible benchmark rate manipulation has been
extended to include HSBC and a number of other
* Chow Tai Fook Jewellery Group Ltd, the world's
largest jewellery retailer by market value, posted a 13 percent
fall in net profit for the year ended March, as slower economic
growth and a crackdown on luxury spending weighed on sales.
* Huabao International Holdings Ltd, which
produces and supplies flavours and fragrances for food, tobacco
and household products, posted a 1.9 percent fall in yearly net
profit to HK$1.7 billion.
* Sinopec Corp, Asia's largest refiner, has from
the end of May cut the sulphur content of diesel for
agricultural, industrial and shipping use as part of a national
effort to help clear the smoggy skies of Chinese cities.
* Agricultural Bank of China Ltd said it would
issue up to 50 billion yuan tier-2 capital instruments by end of
2015, raising capital to replenish tier-2 capital and increase
the capital adequacy ratio of the bank. The capital instruments
will have maturity of no less than 5 years and will be issued to
domestic institutional investors in China.(Reporting by Clement Tan and Donny Kwok; Editing by Shri