A recovery in Hong Kong's stock market yesterday may be a classic dead-cat bounce, with investor sentiment clearly risk averse despite a fresh flurry of edicts from mainland regulators designed to soothe investor fears of an unstoppable slide in the country's stock markets.
While the market-calming measures had the desired effect, they masked the narrow nature of the day's rebound.
Data for Hong Kong's benchmark Hang Seng Index showed buying and selling volume to be almost evenly matched. Buyers outpaced sellers by a mere 9 per cent, though that was enough on the day to hoist the index 3.73 per cent, or 876.23 points higher, largely as a consequence of purchases in select blue chips.
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