HSBC Holdings (5.HK) climbed to a record high of HK$164.60 in Hong Kong trading. Brokers expect the bank to report strong interim results, with second-quarter reported pre-tax profit rising roughly 50% year-over-year to $9.508 billion, according to analyst estimates. The market is bullish on the upcoming earnings and dividend outlook.
HSBC maintained its Hong Kong dollar prime rate at 5% and kept its Hong Kong dollar savings deposit rate unchanged. The company will hold a board meeting on August 4 to review its interim results and decide on a potential second interim dividend. Barclays reiterated its "Overweight" rating on the stock with a target price of 1,650 pence and expects the company to announce a new share buyback program. Citi also reaffirmed its "Buy" rating.