Reply #8: asia: Hong Kong, China shares extend their winning streaks

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http://uk.reuters.com/article/2011/10/27/markets-hongkong-china-stocks-update-idUKL3E7LR14O20111027

HONG KONG, Oct 27 (Reuters) - Hong Kong shares rose for the fifth-straight session on Thursday, gaining 3.3 percent on strength in mainland stocks after a euro zone deal on tackling the region's debt debacle removed a cloud hanging over global markets.

Turnover was the highest in more than a month, though the level was smaller than on days of steep losses in August, during the first of two selloffs that made last quarter the worst for the Hang Seng Index in a decade.

"The cyclical sectors have been way, way oversold. I'm still hearing a lot of doubts from clients, so a lot of people have not jumped back in this rally," said Hong Hao, a global equity strategist with CICC in Beijing.

Hong said the rally could continue in the short term, as more investors get back into the market with the euro zone debt deal a good catalyst. But he said the market remained in a bearish trend, with global growth expected to slow in the next few quarters.