Headline indices of the Hong Kong share market were higher on Monday, 23 July 2018, as investors elected for bottom fishing after selloff in previous four sessions and as a clutch of companies including China Merchants Port Holdings and Sunac China Holdings forecast a strong growth in profits. Market gains were, however, limited amid concerns about global trade wars after US President Donald Trump accused China and the European Union of manipulating their currencies and interest rates lower. Around late afternoon, the Hang Seng Index rose 33.60 points or 0.12% to 28,258.08. The Hang Seng China Enterprises Index added 81.76 points or 0.77% to 10,764.40.
President Donald Trump on Friday said China and the European Union were manipulating their currencies and interest rates lower, and repeated a threat to slap China with $500 billion worth of tariffs on import of their products into the US, as a trade dispute between the world's two biggest economies intensified with no signs a resolution was near at hand. Mr Trump's more aggressive protectionists policies have sparked retaliatory measures from countries around the world, rattling financial markets worried about the impact on global growth.
Shares of Chinese banks were generally higher as the PBoC today conducted operation of 1-year RMB502 billion medium-term lending facility (MLF). CCB (00939) rose 1.3% to HK$6.95. ICBC (01398) bounced 1.3% to HK$5.63. BOC (03988) was unchanged at HK$3.61. BankComm (03328) nudged up 0.7% to hK$5.51. CM Bank (03968) gained 2.3% to HK$29.45. ABC (01288) added 2.2% to HK$3.7.
Chinese insurers were mixed. China Taiping (00966) jumped 2.7% to HK$26.7. Ping An (02318) rose 0.6% to HK$72. China Life (02628) slipped 1% to HK$19.78.