May 6, 2011 (Chinavestor) Chinese indices fell in the first week of May in Asia as investors sold off energy and commodity stocks. The Hang Seng Index (INDEXHANGSENG:.HSI) shed 102.5 points or 0.4% on Friday while the Shanghai Composite index (SHA:000001) fell 8.3 points or 0.3%. U.S. jobless claims rose unexpectedly on Thursday, signalling the U.S. economic recovery may loose steam.
Resource stocks fell hard in Asia on Friday. Yanzhou Coal Mining (HKG:1171), the third largest Chinese coal miner, tumbled 3.2% followed by China Shenhua energy (HKG:1088), China's largest coal miner. CNOOC Ltd. (HKG:0883), China's offshore oil driller, fell 2.5% as price of oil dropped to as low as $94/barrel at one point.
But index futures point to a higher open as the economy added 244,000 payrolls in April, the third straight months of gains over 200,000. 51job Inc. (NASDAQ:JOBS) reported earnings after the close on Thursday and is trading up in pre-market trading hours.
But Agfeed Industries (NASDAQ:FEED) fell hard as investors cut risk, while Silvercorp Metals (NYSE:SVM) suffered as price of the metal fell apart. Chinese airliners are poised to benefit from lower oil prices, as was the case in Asia this morning.