Hong Kong: Shares close slightly lower on mainland weakness

[HONG KONG] Hong Kong shares gave up initial gains and ended slightly lower on Thursday, with sentiment soured by an extended slide in mainland shares in afternoon trading.

The Hang Seng index fell 0.1 per cent, to 19,984.42, while the China Enterprises Index lost 0.3 per cent, to 8,420.14 points.

In the morning, Hong Kong shares tracked Asian markets higher, buoyed by hopes that the European Central Bank will announce fresh monetary stimulus to support the struggling European economy.

But Hong Kong's main indexes reversed gains in the afternoon, as the sell-off accelerated in the China market, which ended down roughly 2 per cent.

REUTERS