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EU hopes buoy stocks in Hong Kong

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profit_1 June 6, 2012 (Chinavestor) Chinese stocks continued to recover in Hong Kong but traded water in Shanghai for the second day in row on Wednesday. The Hang Seng Index (INDEXHANGSENG:.HSI) rose 261.4 points or 1.4% on hopes that Europe will be able to contain its debt crisis. Power generators continued a rapid advance, Datang Power (HKG:0991) was the best performing component of the 42 member Hang Seng Index (INDEXHANGSENG:.HSI) for a second day in row. Huadian Power (HKG:1071) and Huaneng Power Int. (HKG:0902) rose sharply as well. Zijin Mining (HKG:2899) (SHA:601899) was another stock on fire. China's largest gold miner rose for a second day in a row as investors were looking for safety amid global economic worries. Oversold resource stocks recovered some lost ground in Shanghai on Wednesday. Jiangxi Copper (SHA:600362), China's largest producer of the metal, rose 1.0% while Aluminujm Corp. of China (SHA:601600) rose 0.45%.

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