MARKET TALK: HSI +0.5%; 20,300-21,300 This Week - CPY

26th Jul 2010 07:50

0650 GMT [Dow Jones] HSI +0.5% at 20,921.15, adding to 3.6% gain over past 4 sessions, supported by Wall Street rally, but yet to test psychologically key 21,000 level. Core Pacific-Yamaichi says HSI likely to continue uptrend this week, on optimism over land auction Wednesday and upcoming result announcements of blue chips ahead. "We expect investors to start to look at the fundamentals during the earnings season." Notes, upcoming results of HSBC (0005.HK), Hang Seng Bank (0011.HK), as well as major HK developers/conglomerates (expected early August) should provide some guidance to market movement. Tips HSI in 20,300-21,300 range this week. HSBC +1.0% at HK$77.65 after it passed Europe-wide bank stress test, but some utilities lag, with CLP (0002.HK) flat at HK$56.85, China Resources Power (0836.HK) flat at HK$16.50. Volume modest at HK$36.39 billion. ([email protected]) Contact us in Singapore. 65 64154 140; [email protected] (END) Dow Jones Newswires July 26, 2010 02:50 ET (06:50 GMT)