April 5 (Reuters) - Hong Kong stocks fell on Friday,
tracking global peers, as mounting geopolitical worries along
with hawkish pushback by some U.S. Federal Reserve officials
weighed on risk sentiment in a cautious end to the week.
** Hong Kong's Hang Seng Index dipped 0.68%, after
sliding as much as 1.5% in early trading. Still, the index is on
course to eke out a small gain for the week.
** Mainland China's financial markets are closed for a
public holiday on Friday.
** MSCI's broadest index of Asia-Pacific shares outside
Japan fell 0.7% as risk aversion permeated the
market ahead of U.S. jobs data due later in the day.
** U.S. Fed officials, including Richmond Fed President
Thomas Barkin and Minneapolis Fed President Neel Kashkari,
doused expectations that rate cuts were likely on the horizon
as, they endorsed a careful approach to monetary easing.
** Investor sentiment was also hit by escalating tensions in
the Middle East, with Israel bracing on Thursday for the
possibility of a retaliatory attack after its suspected killing
of Iranian generals in Damascus this week.
** The threat of supply disruptions owing to a prolonged
conflict in the Middle East has pushed oil prices higher. The
Hang Seng China A Energy Index was up 2.2%.
** Meanwhile, the Hang Seng China Enterprises index
fell 1%, while the Hang Seng Tech index was 1.25%
lower.
** Data on Wednesday showed that China's services activity
growth accelerated in March as new business rose at the quickest
pace in three months, adding to signs that China's economic
recovery may be gaining traction.