China, U.S. Traded Yuan Barbs; BOC Net Surges

123jump.com Staff
24 Mar, 2010
New York City

China and U.S. spar to decide the future direction of yuan. Several U.S. lawmakers are working on new legislations to push China to revalue the currency. China ended three-day bribery trial of Rio Tinto Group executives. BOC Hong Kong (Holdings) Ltd 2009 net profit rises 310%.

[R]6:00 AM Hong Kong, China – China and U.S. spar to decide the future direction of yuan. Several U.S. lawmakers are working on new legislations to push China to revalue the currency. China ended three-day bribery trial of Rio Tinto Group executives. BOC Hong Kong (Holdings) Ltd 2009 net profit rises 310%.[/R]

Hang Seng index in Hong Kong increased 20.84 or 0.10% to 21,008.62, and CSI 300 index in China higher 1.10 or 0.03% to 3,276.67.

China ended the trial of four Rio Tinto Group executives after three days of trial. China alleged Stern Hu, Liu, Wang Young and Ge Minqiang received total of 92.18 million yuan in bribery and infringed with commercial and trade secrets.

Xinhua News, the state controlled agency said yesterday that four pleaded guilty. However, Wang and Ge pleaded not guilty to trade secret charges according to lawyers Zhang Peihong representing Wang and Zha Jian representing Ge.

U.S. lawmakers stepped up their campaign on China to revalue the yuan. U.S. Senator Charles Schumer said that he will work to pass legislation before June that would require China to revalue the currency. Several other lawmakers are pushing to pass new legislations that deem China as currency manipulator and also impose added tariff on Chinese goods.

Shanghai Movers

Aluminum Corporation of China Limited fell 0.3% to 12.89 yuan.

Bank of China Limited rose 1.6% to 4.22 yuan after the lender posted a more-than-fourfold increase in fourth quarter profit.

Guangxi Wuzhou Communications Co., Ltd advanced 2.7% to 9.68 yuan after the operator of transport infrastructure facilities was upgraded a new “buy” at Qilu Securities Co.

Huaneng Power International, Inc dropped 0.4% to 7.27 yuan.

Hunan Ginde Development Co., Ltd rose 1.8% to 23.32 yuan after the manufacturer of building materials was upgraded “buy” in initial coverage at China Jianyin Securities Co.

Liaoning Huajin Tongda Chemicals Co. Ltd rose 0.3% to 12.85 yuan after Pacific Securities Co. upgraded the stock to “add” from “hold.”

HK Movers

Belle International Holdings Limited decreased 4.2% to HK$9.38 after the women''s shoe seller said 2009 sales rose 10.6% to Rmb 19.8 billion from Rmb 17.9 billion a year ago. Net profit in the year rose 26% to Rmb 2.53 billion or Rmb 30.04 per diluted share compared to net profit of Rmb 2.01 billion or rmb 23.82 per share a year ago.

BOC Hong Kong (Holdings) Limited added 2.6% to HK$18.80 after the bank said 2009 net interest income fell 11% to HK$17.9 billion from HK$20.2 billion a year ago. Net profit in the year rose 310% to HK$13.7 billion or HK$1.30 per diluted share compared to net profit of HK$3.34 billion or HK$0.32 per share a year ago.

China Unicom (Hong Kong) Limited fell 1.5% to HK$9.22 after the provider of telecommunications services said 2009 sales fell 4% to Rmb 153.9 billion from Rmb 159.8 billion a year ago. Net profit in the year fell 73% to Rmb 9.56 billion or Rmb 0.40 per diluted share compared to net profit of Rmb 35.4 billion or Rmb 1.48 per share a year ago.

Guangzhou R&F Properties Co., Ltd fell 1.1% to HK$12.16 after the real estate developer said 2009 sales rose 18% to Rmb 18.2 billion from Rmb 15.4 billion a year ago. Net profit in the year fell 7% to Rmb 2.9 billion or Rmb 0.90 per diluted share compared to net profit of Rmb 3.12 billion or Rmb 0.97 per share a year ago.

Li & Fung Limited dropped 1.4% to HK$41.45 after the consumer goods sourcing company said 2009 sales fell 5.6% to HK$104.5 billion from HK$110.7 billion a year ago. Net profit in the year rose 42% to HK$3.4 billion or 90.6 cents per diluted share compared to net profit of HK$2.4 billion or 68.8 cents per share a year ago.

Wynn Macau Ltd the casino operator said 2009 sales fell 4.3% to HK$14.1 billion from HK$14.7 billion a year ago. Net profit in the year rose 1.4% to HK$2.07 billion or 41 cents per diluted share compared to net profit of HK$2.04 billion or 41 cents per share a year ago.