By Laura He, MarketWatch
HONG KONG (MarketWatch) -- Hong Kong stocks fell on Monday for a
seventh session of losses, after the release of key indicators
suggested China is seeing a slower-than-expected economic
recovery.
Official Chinese data released Saturday showed the country's
industrial production increased 6.9% year-on-year in August. That
compares with a 9% gain in the previous month and missed forecasts
for a 8.7% rise in a poll from The Wall Street Journal. Growth in
retail sales and fixed-asset investment also came in below
expectations.
The Hang Seng Index declined 1%, with oil stocks suffering
heavily.
China Petroleum & Chemical Corp., or Sinopec, dropped 8.1%
on its ex-dividend day. The loss came after the refining giant
announced that its retail unit will sell 107 billion yuan ($17.3
billion) worth of shares, or a 30% stake. The stake will go to 25
domestic and foreign investors, including blue chips such as China
Life Insurance Co. and Tencent Holdings Ltd. . China Life lost 2%,
while online major Tencent rose 0.4%.
Oil producers Cnooc Ltd. and PetroChina Co. dropped 1.4% and 1%
respectively, amid a fall in crude-oil futures (CLV4).
Stock in Fosun International Ltd. , which also bought into the
Sinopec offering, was down 0.2%. The company said Friday it and its
consortium partners had made a counter-bid for Club Méditerranée SA
, amid a bidding war with Italian magnate Andrea Bonomi.
Over on the mainland, the Shanghai Composite Index edged up
0.3%.
In other Asian markets, Sydney's S&P/ASX 200 closed 1%
lower, with the Australian dollar (AUDUSD) falling to 90.06 U.S.
cents from 90.40 U.S. cents in the prior session. Seoul's Kospi
Composite Index ended down 0.3%.
Japanese markets were closed for a national holiday and
scheduled to resume trading on Tuesday.
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