Profit-Taking Weakens Shares
May 12, 2011
The Hang Seng Index dropped 169.19 to 11159.02, while the broader All Ordinaries Index slid 68.04 to 5367.65. Volume was valued at 7.35 billion Hong Kong dollars because of share placements on New World Development and China's Qingling Motors. Developer New World Development placed 75 million shares at HK$37.10, while Qingling Motors had 80 million of its Class H shares on the market at HK$2.975 each. New World Development lost 50 cents to HK$37.50 and Qingling Motors shed 7.5 cents to HK$2.975. Analysts said banking and property stocks were the hardest hit. British banking group HSBC Holdings slid HK$1.50 to HK$133.50, while developer Cheung Kong Holdings declined HK$1.50 to HK$54.25. The financial subindex lost 1.0%, the utilities subdindex slipped 1.4%, the property subindex plunged 1.9%, the commercial and industrial subindex lost 1.5% and the Hang Seng China Enterprises Index, which tracks Chinese Class H shares, ended down 0.6%.
