HONG KONG, March 9 (Reuters) - Hong Kong stocks rose to their highest level in a month as optimism over earnings grew and easing fiscal tightening worries and attractive valuations continued to support the case for going long mainland banks.
The Hang Seng Index <.HSI> finished up 0.42 percent at 23,810.11, with turnover picking up to the highest level in six sessions. The China Enterprises Index <.HSCE> rose 0.76 percent.
The Shanghai Composite Index <.SSEC> managed to hold on to gains, rising 0.07 percent and closing above the 3000-level for the first time in nearly four months.
HIGHLIGHTS:
* Cathay Pacific Airways Ltd <0293.HK> closed up 4.5 percent, extending gains after the airline reported a record half-year profit and a big aircraft order in March, but warned that high oil prices could hurt results this year. Cathay Pacific was the top performer on the benchmark in strong volume.
* Chinese banks continued to advance as long-only funds, encouraged by attractive valuations, bought in ahead of earnings that are expected to be robust. China Construction Bank Corop <0939.HK> rose 1.7 percent, while rival Industrial & Commercial Bank of China Ltd <1398.HK> was up 1.5 percent.
DAY AHEAD:
China kicks off a closely watched round of economic data for February with trade numbers. An average forecast by 24 economists polled by Reuters projected China's trade surplus for February at $4.95 billion, lower than January's $6.46 billion.
Inflation data, along with bank lending and money supply, is expected on Friday. (Reporting by Vikram Subhedar; Editing by Chris Lewis) (vikram.subhedar@thomsonreuters.com; +852 2843 6975; Reuters Messaging: vikram.subhedar.reuters.com@reuters.net))