China & HK Equities Mixed After Lack Of Detail From Third Plenum

Chinese and Hong Kong equity markets fell as the Third Plenum's economic blueprint provided few new incentives for investors. The release on Thursday, emphasized "high-quality development" but lacked detailed measures to boost demand or address the property slump, with investors now awaiting more details expected to be released in the coming weeks. Bloomberg has reported that the China National team has been active and important in keeping some of the main benchmark Indices supported over the past month.

• Hong Kong equities are lower today, with property the worst performing after a lack of any policy update from the Third Plenum to support the troubled sector, the Mainland Property Index is down 3.65%, while the HS Property Index is down 2.70%. The HSTech Index is down 1.30%, while the wider HSI is down 1.80%.
• China equity markets are mixed today, which could be due to the National team stepping in to support the markets again with indices that are known to be support by them trading slight higher this morning, the CSI 300 up 0.15%, CSI 1000 up 0.50%, CSI 2000 up 85%.
• In the property space, Sino-Ocean Group announced that about half of its Class A debt lenders support a debt-management proposal involving $5.6 billion of existing debt. However, an ad-hoc group of creditors strongly opposes the proposal, citing concerns over transparency and calling for better terms, while the company also faces a potential liquidation hearing set for September 11.
• On Monday we have China 1yr & 5yr LPR rates which are expected to be left unchanged and in Hong Kong CPI Composite.