Investment Daily

Although the market eyed on the Fed’s interest rate meeting, the Hong Kongequities traded higher on Monday. The HSI Index closed at 23,550 points,increasing 215 points. HSCEI closed at 9,747 points, rising 152 points. Theturnover for the whole day was $72.5 billion. According to the National Bureau ofStatistics, the property price continued to rise in Aug, leading major Chineseproperty stocks increased 2% to 4%. On the other hand, Chinese bank andinsurance sector edged higher in general.

    Venezuelan President said that oil producing countries were nearing an agreementthat would stabilize oil price, triggered oil price to rise more than 2% on earlyMonday. The Dow once rose 130 points. However, oil price narrowed its riseafterward. Together with profit taking pressure on Apple and other hightechnology stocks, US stock market reversed early rally. The Dow and the Nasdaqfell 4 points (to 18,120) and 10 points (to 5,235) respectively.

    Thanks to buying interest through Shanghai-HK connect, HK market turnoverimproved on Monday. However, ahead of the FOMC and BOJ meeting later thisweek, we expect market to be volatile. We suggest investors not to be tooaggressive and wait for better entry opportunity.