6:00AM New York, 6:00PM Hong Kong - China’s trade with ASEAN member rise 27% from a year ago to $96 billion. Large caps in Hong Kong trading fell. Metals and mining companies rose in Shanghai and Hong Kong trading.

Hong Kong stocks fell on cautious trading ahead of key US data on jobless figures, second quarter economic growth and consumer confidence. Investors also opted for futures market as July contract expires on Wednesday.

Market Sentiment

In Hong Kong trading Hang Seng Index slid 0.24% or 53.50 at 22,687.21, and the China Enterprises Index of Hong Kong listed mainland shares, or H shares, slumped 0.21% or 6.54 at 3,154.67. In Shanghai trading CSI 300 Index rose 0.74% or 21.65 at 2,960.85. Daily turnover on main-board was HK$41.5 billion compared with HK$61.4 billion on Friday last week.

China-ASEAN Trade Rise 27%

Xinhua News Agency reported today that the General Administration of Customs said yesterday that China’s trade with ASEAN members increased 26.9% from a year ago to $95.55 billion in the first five months of the year.

Of the trade volume figures, the import value gained 22.3% to $50.27 billion, while the export value advanced 32.6% to $45.28 billion.

Also the trade deficit declined 28.2% to $4.99 billion and was mainly recorded in the high-tech sector.

According to the report, the import of new- and high-tech products from the ASEAN members rose 16.7% to $25.01 billion and exports also gained 30% to $13.21 billion in the first five months.

The value of machines and electronics traded between China and ASEAN members gained 27.4% to $54.7 billion, which is 57.2% of the total.

Estimates of China’s GDP and CPI

Separately, the online edition also reported that an estimate by 17 Chinese and foreign institutes indicates that China’s Gross Domestic Product will edge up 10% and the consumer price index will advance 6.1% during the third quarter.

One of the forecasters Lu Feng, a Professor at Peking University said, “the government''s tight monetary policy is beginning to work to bring down inflation with the quickened pace of renminbi appreciation and a slowdown in money supply and GDP growth.”

China''s GDP rose 10.6% in the first quarter and 10.1% in the second. On the overall the economy rose 10.4% in the first half, while the CPI topped 7.9% in the first six months of the year.

Gainers & Losers

Hong Kong stocks fell on cautious trading. HSBC Holdings, China Mobile and Hong Kong Exchanges & Clearing declined in tandem with the general weak market sentiment.

China COSCO fell 5% after Goldman Sachs downgraded the company to “sell” from “neutral” on gloomy outlook over the global economy and an anticipated oversupply of freight capacity.

Other shipping lines slumped as well. Pacific Basin declined 3.5%, China Shipping Container Lines plunged 6.3% and China Shipping Development dropped 1.3%.

Coal miners increased as Yanzhou Coal increased 2.5% as the company reviewed its interim profit estimate as earnings are expected to rise 220% on rising coal prices. China Shenhua edged up 0.7% and China Coal Energy advanced 0.3%.