KEY POINTS:
Hong Kong blue chips rose yesterday as HSBC jumped after Standard & Poor's removed a threat to downgrade the ratings of bond insurers, easing concerns about sub-prime-related losses at the biggest banks.
Steel plays gained further momentum after China's largest steelmaker, Baosteel, said it would raise major steel product prices by up to 20 per cent. Chinese names rebounded a day after taking hits from sinking mainland stock markets, although they eased in late morning trade after China's benchmark stock index headed into negative territory.
The prospect of huge share sales in Shanghai has spooked investors there, despite warnings by regulators against large-scale fundraisings.
Trade was thin again as investors saw no clear market trend.
- REUTERS
