HONG KONG - Hong Kong shares are expected to rise on Monday, after losing 7.4 percent last week, following a pullback in crude oil prices on Friday.
A statement from the Chinese capital markets regulator saying it was reviewing the possibility of further opening up its markets to foreign investors is also expected to provide a boost to investors in China and Hong Kong.
Mainland stocks led losses in Hong Kong last week after Beijing announced a harsher-than-expected credit tightening measure, taking investors by surprise and sending the Chinese markets tumbling.
Investors have since been looking towards the government for market-friendly measures to restore confidence and boost the battered stock market.
"Oil has eased, overseas markets have bounced back and China has said it will look at allowing more foreign investments. There is no reason for the Hong Kong markest not to rise today," said Francis Lun, general manager with Fulbright Securities.
U.S. markets rallied on Friday, helped by a government report that showed underlying price pressures rose moderately in May, easing fears of a near-term interest rate hike. [ID:nN13446212]
Hong Kong shares closed on Friday down 1.9 percent at 22,592.30, their lowest close since March 25.
The index is expected to claw its way back to the 23,000 level today.
A statement from the Chinese capital markets regulator saying it was reviewing the possibility of further opening up its markets to foreign investors is also expected to provide a boost to investors in China and Hong Kong.
Mainland stocks led losses in Hong Kong last week after Beijing announced a harsher-than-expected credit tightening measure, taking investors by surprise and sending the Chinese markets tumbling.
Investors have since been looking towards the government for market-friendly measures to restore confidence and boost the battered stock market.
"Oil has eased, overseas markets have bounced back and China has said it will look at allowing more foreign investments. There is no reason for the Hong Kong markest not to rise today," said Francis Lun, general manager with Fulbright Securities.
U.S. markets rallied on Friday, helped by a government report that showed underlying price pressures rose moderately in May, easing fears of a near-term interest rate hike. [ID:nN13446212]
Hong Kong shares closed on Friday down 1.9 percent at 22,592.30, their lowest close since March 25.
The index is expected to claw its way back to the 23,000 level today.
