September 14, 2011 (Chinavestor) Fears about Greece sinking the euro subdued after Germany's Chancellor Merkel stood firm in support for the eurozone's most troubled economy. Asian stocks made a remarkable comeback in the afternoon session, as a result. The Hang Seng Index (INDEXHANGSENG:.HSI) made a comeback and rose 14.9 points or 0.1% by the end of the trading session. The Shanghai Composite Index (SHA:000001) advanced 13.5 points or 0.5% thanks to a sound afternoon trading session. If anything, Chinese telecommunication stocks moved noticeably in Hong Kong. China Telecom (HKG:0728) and China Mobile (HKG:0941) rose 3.3% and 2.6%, respectively. China Unicom (HKG:0762), the second largest mobile carrier, advanced 1.8%.
The advance was far from universal among components of the Hang Seng Index (INDEXHANGSENG:.HSI). More stocks fell then advanced among the 42 components of the index. But large cap, index heavy weight China Mobile (HKG:0941) and Petrochina Co. Ltd. (HKG:0857) rose 2.6% and 1.6% each. China Life Insurance (HKG:2628), the troubled Chinese insurer after 2011 second quarter result, surged 2.2%, the most in August.
Chinese stocks were mixed in Hong Kong for half of the components of the Xinhua 25 Index advanced and the rest fell. All three Chinese telecoms were among the best components of the index along with Chalco (HKG:2600) and China Life Insurance (HKG:2628). Chinese telecoms enjoy an industry rotation after years of neglect. Stock price of China Mobile (HKG:0941), the largest mobile carrier in the world, is basically unchanged after the 2008 crash, making the sector attractive on valuation.