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Hong Kong: Shares close lower, but get a 3rd straight weekly gain
[HONG KONG] Hong Kong shares finished lower on Friday as investors are cautious about the coming central bank chiefs'meeting in Wyoming.
Investors will be looking for clues about a US rate hike at an annual meeting of central bank governors in Jackson Hole next week.
The Hang Seng Index fell 0.4 per cent, to 22,937.22, while the China Enterprises Index lost 0.5 per cent, to 9,606.17 points.
For the week, HSI was up 0.7 per cent, a third straight weekly gain, while HSCE gained 0.5 per cent.
Hong Kong Exchanges and Clearing Limited (HKEX) is introducing its new Volatility Control Mechanism (VCM), which would prevent extreme fluctuations and price volatility arising from trading incidents. The new mechanism will come into effect on Monday.
Analysts in Hong Kong expect the new VCM will only have very limited impact on the overall market.
And they welcome the approval of a long-anticipated Shenzhen-Hong Kong stock connect scheme and hope to see fund flows from mainland due to cheap valuations of shares listed on the Hong Kong market.