HONG KONG, Aug 12 (Reuters) - Hong Kong shares are seen pulling back on Wednesday with overnight losses on Wall Street giving investors the excuse they need to take profit on the recent rally that took the main index to close to a 12-month high.
Key earnings on Wednesday include second-quarter results from exchange operator Hong Kong Exchanges and Clearing, which is expected to announce a flat performnce as trading volumes stabilised in the period, and Chinese internet portal Tencent.
Huaneng Power International Inc will be in focus after China's largest electricity provider reported a return to profit in the first half of 2009, buoyed by two tariff increases in the second half of last year and lower coal costs.
Huaneng said on Tuesday that its net profit totalled 1.87 billion yuan ($273.6 million) for January-June, compared with a 543.8 million yuan net loss a year earlier and better than a consensus estimate for a 1.61 billion yuan profit from five analysts surveyed by Reuters.
The benchmark Hang Seng Index rose 0.7 percent on Tuesday, to finish at 21,074.21, closing above the 21,000 level for the first time since September 2008, as key data releases from China were more or less in line with expectations.
STOCKS TO WATCH- * Poly Development said on Wednesday that it would buy Chinese heavy infrastructure construction equipment provider CIIC Group for HK$2.04 billion (US$263 million), a deal to be settled by an issue of new shares, convertible notes and cash.
The company also said it intended to raise up to US$700 million through an issue of equity or equity-linked securities to fund working capital, capital expenditure and other investments. For statement please click http://www.hkexnews.hk/listedco/listconews/sehk/20090812/LTN20090812003.pdf
* Brightoil Petroleum said late on Tuesday that it would team up with a Chinese partner to construct 192.6 kilometres of oil pipeline connecting planned oil storage facilities in Dalian City with the national oil pipelines.
Investment in the project will total US$1.05 billion and construction of the pipeline is estimated at US$355 million. The company said it would fund the investment by internal resources including part of HK$450 million to be raised from an issue of convertible notes. Trading in the shares will resume on Wednesday. For statement please click http://www.hkexnews.hk/listedco/listconews/sehk/20090811/LTN20090811630.pdf
* Shanghai Forte said it would buy a land development project for residential and commercial use in Nanjing City for 1.04 billion yuan, to increase its land bank and project developments in Jiangsu province. Trading in its shares will resume on Wendesday. For statement please http://www.hkexnews.hk/listedco/listconews/sehk/20090811/LTN20090811628.pdf * China National Resources Development said its arm China Daye Non-ferrous Metals Mining had signed a strategic cooperation framework agreement with the Government of Xinjiang Ili Kazakh Autonomous Prefecture of China for joint development of nonferrous metal and mineral resources in Xinjiang. For statement please click http://www.hkexnews.hk/listedco/listconews/sehk/20090811/LTN20090811611.pdf
* Hunan Nonferrous Metals said its Zhuzhou Smelter Group posted an 84.4 percent year-on-year drop in first-half profit to 14.7 million yuan while operating profit fell 95.1 percent 6.9 million yuan. For a statement please click http://www.hkexnews.hk/listedco/listconews/sehk/20090811/LTN20090811437.pdf * Toll road operator Zhejiang Expressway said its profit for the first half of 2009 fell 26.4 percent to 772.45 million yuan as traffic on its two expressways were affected by a slump in foreign trade and exports within the province. For statement please click http://www.hkexnews.hk/listedco/listconews/sehk/20090811/LTN20090811390.pdf
* China Insurance International said accumulated premium income at Taiping Life Insurance for January-July period totalled 12.79 billion yuan. For statement please click http://www.hkexnews.hk/listedco/listconews/sehk/20090811/LTN20090811302.pdf
* Ping An Insurance said that in the January-July period, premium incomes at Ping An Life Insurance Co, Ping An Property & Casualty Insurance, Ping An Health Insurance and Ping An Annuity Insurance were 82.86 billion yuan, 21.76 billion yuan, 52.52 million yuan and 653.18 million yuan respectively. For statement please click http://www.hkexnews.hk/listedco/listconews/sehk/20090811/LTN20090811354.pdf
* Chinese developer China Resources Land is expected to be added to the Hang Seng Index this week, while COSCO Pacific, the third-largest container terminal operator in Asia is tipped to be removed as index compiler announces its latest quarterly review on Friday, the South China Morning Post reported. ----------------------MARKET SNAPSHOT @ 2245 GMT ------------
INSTRUMENT LAST PCT CHG NET CHG
S&P 500 <.SPX> 994.35 -1.27% -12.750
USD/JPY
MARKETS SUMMARY *Wall Street dragged lower by financials [nN11403526] *Oil falls as U.S. data damps recovery hopes [nSP473359] *Yen rises on lackluster China data, risk aversion [nN11326971] *Treasuries rise on stocks slide, strong auction [nN11590434] (Reporting by Parvathy Ullatil; Editing by Chris Lewis)