FOREX NEWS TODAY | 21 June 2011

FOREX NEWS TODAY | 21 June 2011

(MarketWatch) Hangseng Index increased by 0.3% the first session but stay away from intraday high at 21819.44 levels, indicating that buying interest remains weak even though the index has experienced a decline of 8.8% since the beginning of the month until Monday.

"Because most investors still lack confidence in a rebound, especially after a deep correction, investors usually need more time to regain confidence in the market," said Core Pacific-Yamaichi.


They predicted the index would be around 21500-21800 levels for short-term.

China Unicom rose 0.4% to HK $ 15.04 after releasing operational data in May and China Construction Bank fell by 3% to HK $ 6.39 after news reports from Bloomberg, citing three unnamed on the plans of Bank of America may be sells about half its stake in CCB.

Trading volume totaled HK $ 33.15 billion.

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China Stock Market Up First Session

(MarketWatch) China 's shares still rose in the first session, led by cement manufacturers, but the increase in the market seems limited because trade sentiment remains cautious. Shanghai Composite rose 0.2% at 2626.98 levels, stay away from the highest intraday level of 2639.00 and is expected to persist in the range of 2600-2650 levels.

"The increase is not strong enough because no new catalyst that spurs interest in buying," said Zhang Xiang, an analyst with Guodu Securities.

He added that, despite a sharp decline since mid-April on the poor sentiment on the local economy, this will not make the rapid changes in investor sentiment today.

Chaodong Cement rose by 5.3% at level CNY19.36, Jiangxi Wannianqing Cement rose by 5.2% at level CNY16.29 and Lionhead Cement rose by 10% at level CNY10.31.

Shenzhen Composite Index rose by 0.3% at 1076.83 levels.