0732 GMT - Hong Kong Exchanges & Clearing may continue to face near-term challenges from macroeconomic uncertainties and higher U.S. interest rates, Citi Research analyst Michael Zhang writes in a note. Headline profit beat consensus estimates, but this appears to have been driven by investment income from external portfolio gains, which are unlikely to be extrapolated beyond this quarter, Zhang says. Operating expenses were higher than expected due to increased staff expenses, while cash trading revenue fell on year, reflecting a soft cash market, Zhang added. Citi maintains its sell rating with a target price of HK$215.00. Shares are 3.3% higher at HK$238.40. (kimberley.kao@wsj.com)
(END) Dow Jones Newswires
April 24, 2024 03:32 ET (07:32 GMT)
Copyright (c) 2024 Dow Jones & Company, Inc.
Comments