* Hang Seng Index jumps 2 percent, H-shares rally
* Shanghai Composite up 0.9 pct; 2,700-level tough resistance
* Energy, resources shares up as China economy motors along
* Bank stocks firmer after Basel agreement (Updates to midday)
By Vikram S Subhedar
HONG KONG/SHANGHAI, Sept 13 (Reuters) - Hong Kong shares rose on Monday morning on optimism that Chinese growth would underpin global economic recovery, and as bank shares advanced after a global deal on new capital rules that were less stringent than feared.
Recent data from China showed factories ramping up production, with money growth easily topping forecasts and robust imports pointing to strong domestic demand.
"The strong data from China, in particular industrial production, which comes on top of firm import numbers, is driving gains today," said Karl-Thomson Securities in Hong Kong.
The benchmark Hang Seng Index was up 2.02 percent at 21,685.73 by the midday trading break, the biggest single-day rise in nearly three months and trading slightly above downward trendline resistance that has capped gains since November last year.
The China Enterprise Index was up 2.41 percent, led by resources plays, which jumped on expectations of continued strong demand from Chinese industries.
China Shenhua Energy Co Ltd, the world's most valuable coal producer, rose 3.7 percent while China Coal Energy Co Ltd, which made its market debut last week was up 2.6 percent.
Top oil and gas producer CNOOC Ltd was up 3.4 percent as oil rose to a one-month high.
Bank shares were firmer after global regulators agreed on capital rules aimed at preventing another credit crisis but were less stringent than feared.
HSBC Holdings Plc was up 2 percent and had the biggest positive impact on the index. Mainland banking shares were also higher, led by China Construction Bank Corp which also rose 2 percent.
The Hang Seng Index could retest its August high around 21,800 if it is able to break through trendline resistance decisively although its advance may be limited as it approaches technically overbought conditions.
SHANGHAI FIRMS
In a sign that foreign investors remain more optimistic on Chinese equities than domestic mainland investors, China's key stock index underperformed the Hong Kong market.
The Shanghai Composite Index rose 0.9 percent to 2,688.3 on Monday morning, but stayed below strong near-term resistance seen at the 120-day moving average of 2,700.
Domestic investors, who tended to be more sensitive to government policy, were still focused on macroeconomic uncertainty were looking at select sectors such as alternative energy and pharmaceuticals, said Zhang Gang, analyst at Central Securities.
"Share prices will continue to trade in a narrow range. We need to wait until next month's data to show further clarity," said Zhang Gang, analyst at Central Securities.
Alternative energy stocks continued gains from last week following government measures to support the sector.
Wind power company Dongfang Electric Corp Ltd was up 6.5 percent, while Inner Mongolia Yili Energy Co Ltd rose 6.7 percent. Guangxi Guidong Electric Power Co Ltd gained 8.5 percent.
Inflation accelerated to its fastest pace in 22 months but analysts said that since the bulk of price rises stemmed from higher food costs, an interest rate rise was unlikely.
Investors expecting any loosening of policy, however, would likely be disappointed. they said.
"At the very least, there will be no quick loosening of policy. With the CPI so high, there is less room to loosen," said Zhang. ($1=6.769 Yuan) (Editing by Chris Lewis)