Hong Kong Stocks Bounce Back, Energy Sector Slides

Hong Kong stocks rose on Friday, reversing early losses to extend the previous day's gains ahead of the release of US jobs data, though energy firms were hit by plunging oil prices.

The Hang Seng Index added 0.5 percent, to close at 30,081.

Mainland markets were closed for a public holiday. Most other Asian markets were mixed heading into the weekend.

Taipei added 0.8 percent and Mumbai put on 0.3 percent with Manila slightly higher.

But Seoul sank 0.7 percent with Sydney, Wellington and Jakarta also lower. Singapore was barely moved.

There is also some unease in the markets after a report in the mainland media speculated that negotiators from China and the US had hit an impasse in the trade talks, citing the fact there were few details from their most recent talks in Beijing this week.

"Whilst these are just initial reports, clearly anything that suggests the US and China won't agree a deal will rattle investors," said Neil Wilson, chief market analyst for Markets.com.

However, National Australia Bank pointed out that the comments contradicted reports by Politico and CNBC saying a deal could come as soon as next Friday.

Energy firms were once again in the firing line, dropping in tandem with crude prices owing to worries about rising supplies and falling demand.

Hong Kong-listed CNOOC dived more than 2 percent and PetroChina 0.4 percent, while Woodside Petroleum shed 0.9 percent in Sydney and Santos sank more than 2 percent. (AFP)