* HSI down 0.2 pct, H-shares index down 0.4 pct
* Shanghai Comp up 0.3 pct, CSI300 up 0.8 pct
* China markets rebound after worst week in 11 months
(updates to close)
By Vikram Subhedar
HONG KONG, Sept 24 (Reuters) - Hong Kong shares, which rose
each of the past three weeks, started the new one with a fall as
investors locked in some gains ahead of the quarter-end while
China markets rebounded slightly after their worst week in 11
Hong Kong's Hang Seng index ended the day down 0.2
percent while the China Enterprises index of top locally listed
mainland firms fell 0.4 percent.
"You've had streaks of risk appetite and now there's some
skepticism heading into the fourth quarter," said Tom Kaan, a
director at Hong Kong-based Louis Capital Markets.
Shares of large-cap financials in Hong Kong saw
profit-taking, after a strong run-up this month as part of a
global rally in the sector fueled by major central bank efforts
to ease policy.
HSBC Holdings fell 0.9 percent and was the top
drag on the Hong Kong benchmark, which ended at 20,694.7. Still,
HSBC shares are up 9.5 percent this month.
On the mainland, the CSI300 index of the top
Shanghai and Shenzhen listings rose 0.8 percent. The Shanghai
Composite was up 0.3 percent.
"In China the market is looking for some sort of conclusive
stimulus and there's cause for optimism but we're in a sort of
market in which a lot of people will see a 5 percent gain and
will want to take some money off the table," said Kaan.
Last Thursday, Chinese stocks on the mainland hit their
lowest levels since early 2009, spurring renewed talk that the
government would take steps to prop up the market.
Chinese infrastructure-related sectors, particularly cement
and construction-equipment makers, had healthy gains. Banks and
insurers were the biggest boosts for the mainland stock markets.
Shares of heavy machinery maker Zoomlion Heavy Industry and
Technology Ltd rose 3.4 percent in Shenzhen on
Monday, leaving it up 2.2 percent this month. Hong Kong-listed
Zoomlion gained 2.2 percent for the day, taking its
gain for September -- during which it hit a 2012 low -- to 8.2
Sany Heavy Industry Co Ltd was up 2.1 percent on
Monday in Shanghai.
Cement producer Anhui Conch was up 4.8 percent and
the biggest gainer in top Hong Kong-listed Chinese shares.
Shares of top insurers, China Life and Ping An
, seen as proxies for the domestic markets, were up
1.9 percent and 1.7 percent respectively and among the biggest
supports for mainland indices.
Analysts at Citigroup remain cautious on Chinese equities,
which are poised to lag Asian peers for a third year running as
a slowing global and domestic economy takes a toll on corporate
earnings and profit margins.
The Shanghai Composite is down 7.6 percent this year
compared with an 11.8 percent rise for the MSCI Asia Pacific
"The underperformance of the Chinese equity market suggests
that it has largely priced in no significant policy changes
either to stabilize the economy in the near term or to rebalance
the Chinese economy in the longer term," Citigroup analysts said
in a note.
China's leadership transition, widely expected to get under
way mid-October with the announcement of the date of the 18th
Party Congress, might pave the way for more conclusive steps
from Beijing to support the economy and the market, according to
(Editing by Richard Borsuk)