Bloomberg (30/12) -- Hong Kong stocks swung between gains and losses in low year-end trading volume as technology stocks rose and materials shares slid.
Tencent Holdings Ltd. added 2.4 percent to lead gains on the Hang Seng Index, while China Coal Energy Co. posted the second-largest drop on the gauge. Bank of Communications Co. fell 0.9 percent amid expectations money-market rates will remain close record highs next quarter. Kingbo Strike Ltd. advanced 8 percent as shares of the engineering services provider debuted in Hong Kong.
The Hang Seng Index climbed 0.2 percent to 23,284.39 as of 1:07 p.m. in Hong Kong after falling as much as 0.1 percent. Trading volume was 46 percent under the 30-day average, with tomorrow the last trading day of the year. The Hang Seng China Enterprises Index, also known as the H-share index, slid 0.2 percent to 10,809.95 today.
The Hang Seng Index advanced 17 percent from its June low through Dec. 27 amid signs Chinas economy is stabilizing and the U.S. recovery is gaining momentum. The measure traded at 11.1 times estimated earnings as of the end of last week, compared with 16.7 for the Standard & Poors 500 Index.
Conditions are in place to save Chinas economy and markets stable, and the government will implement prudent monetary policy and preserve appropriate liquidity, Premier Li Keqiang said during a Dec. 27 visit to Tianjin, according statement posted on the governments website yesterday.