Investment Daily

Hang Seng Index once tumbled more than 200 points on Monday morning.

    However, it reversed the declining trend afterward. The index closed at 29,138points, increasing 64 points. HSCEI closed at 11,518 points, rising 68 points.

    Market turnover was $108.6 billion. As OPEC extended the production cut till2018 year end, both international oil price and local oil stocks rose on Monday. Onthe other hand, local listed mainland beer stocks surged 5% to 6%.

    Since US Senate passed its own version of tax reform proposal last weekend, USstock market opened much higher on Monday while the Dow once rose more than300 points. However, as profit taking pressure emerged afterward, the Downarrowed most of its early gain and closed 58 points higher only (at 24,290).

    Since investors realigned their portfolios in hopes of benefiting from expectedcorporate tax cuts, bank and retail stock rose but technology stock fell. TheNasdaq fell 72 points (to 6,775).

    Hong Kong market rebounded on Monday, but market turnover reduced obviously,indicating market momentum was not strong. On the other hand, local blue chipsalso fell in the US ADR market last night. Hence, HK stock market is expected toopen lower today, 50 Day SMA (28,686) is still the major support level for HangSeng Index.