 |
|
  |
2009-1-7 03:25:00 p.m. HKT, XFNA
DJ MARKET TALK: China Banks Down; FY Results Might Disappoint-UBS
|
| |
| 1515 [Dow Jones] HK-listed China banks sharply lower, as news Bank of America (BAC) selling down part of China Construction Bank (0939.HK) stake weighs. UBS says concerns over 2008 earnings prospects of these banks also souring sentiment in sector. "We see increasing possibility that banks' 2008 earnings could disappoint as banks' management could adopt a more aggressive provisioning policy to increase NPL coverage ratio," says UBS. Adds, banks with large NPL balances and low coverage ratios by 3Q could post very small or even negative 4Q earnings. Tips higher volatility during results season and suggests looking for buying chances after 1Q. China Merchants Bank (3968.HK) down 5.1% at HK$14.90, ICBC (1398.HK) down 6.6% at HK$3.99, CCB (0939.HK) down 8.1% at HK$4.09.(SUT) Contact us in Hong Kong. 852 2802 7002; MarketTalk@dowjones.com
Click here to go to Dow Jones NewsPlus, a web front page of today's most important business and market news, analysis and commentary: http://www.djnewsplus.com/access/al?rnd=QlCTPfzEyaX%2FJB0dJGvAug%3D%3D. You can use this link on the day this article is published and the following day.
(Delayed by 1 hour)
-0-
Copyright (c) 2009 Dow Jones & Company, Inc. |
| |
News Provided by XFNA |
| |
|
| Copyright(C) AASTOCKS.com Limited 2000. All rights reserved |
| |
|
|
|
