Investment Daily

The Asia and Europe stock markets rally benefits Hang Seng Index, and it closedat intra-high. The index closed at 23,689 points, increasing 105 points. HSCEIclosed at 9,756 points, climbing 73 points. Turnover was $49.8 billion. Severalmainland cities launch tightening measures for the housing market, leading toapparent selling pressure for large scale companies within the sector. On the otherhand, FTSE 100 Index breaks the historical high in the early trading session,leading to a surge among international banking stocks.

    There is market talks saying that Europe Central Bank reached an informalconsensus to wind down bond buying gradually when the bank decides to end thepurchases program, Europe and US treasury yield rose sharply on Tuesday.

    Owing to selling pressure on utility and telecom stock, US stock market continuedits decline on Tuesday, the Dow and the Nasdaq fell 85 points (to 18,168) and 11points (to 5,290) respectively. Besides, US dollar also turned strong since moreFederal reserve member suggest to rate hike soon and US economic data releasedare satisfactory, gold price plunged more than 3% to 1,270 US Dollar per ounce.

    US Dollar turned strong, together with US treasury yield increase, it will not favorHK stock. However, since investors prefer to stay sideline, before the release ofUS nonfarm payroll data on Friday as well as China A share resume trading nextMonday.