China Stocks Rise in Hong Kong After Worst Week Since May 2012

Chinese stocks traded in Hong Kong rose before an emergency summit in Brussels on Greece’s debt crisis.

The Hang Seng China Enterprises Index, also known as the H-share gauge, added 0.7 percent to 13,275.91 as of 9:31 a.m. in Hong Kong. The measure sank 5.7 percent last week for its steepest weekly drop since May 2012, while the Shanghai Composite Index tumbled 13 percent. Mainland markets are shut today for a holiday. Hong Kong’s benchmark Hang Seng Index climbed 0.3 percent to 26,835.77 today, with about three shares rising for every two that fell.

The rout in mainland equities wiped out $ 1.3 trillion of value last week, or more than Australia’s entire stock market, amid concern the government will clamp down on margin trading and valuations reached unsustainable levels.

The Hang Seng China Enterprises Index traded at 9.4 times estimated earnings at the last close, compared with 16.3 for the Stoxx Europe 600 Index and 17.8 for the Standard & Poor’s 500 Index, which lost 0.5 percent in New York on Friday. E-mini futures on the S&P 500 climbed 0.4 percent today.

Source: Bloomberg


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