(Updates to market closing levels)

SHANGHAI, June 6 (Reuters) - Hong Kong shares closed up

on Thursday, tracking Asian markets higher on growing

expectations that the U.S. Federal Reserve will likely cut

interest rates in September, while China stocks closed down.

Expectations of Fed rate cuts in September rose after data

this week hinted the U.S. labour market was easing. The Euro

advanced ahead of the European Central Bank policy meeting, in

which a rate cut is widely expected.

Also helping sentiment was a private sector survey released

on Wednesday that showed China's services activity in May

accelerated at the quickest pace in 10 months. Staffing levels

expanded for the first time since January, pointing to a

sustained recovery in the second quarter.

** At the close of trade, the Hang Seng index was up

51.84 points or 0.28% at 18,476.80. The Hang Seng China

Enterprises index rose 0.19% to 6,555.06.

** The sub-index of the Hang Seng tracking energy shares

rose 2.5%, while the IT sector rose 0.44%,

the financial sector ended 0.02% lower and the property

sector dipped 0.61%.

** The Shanghai Composite index ended down 0.54% at

3,048.79.

** The blue-chip CSI300 index was down 0.07%, with

its financial sector sub-index lower by 0.51%, the

consumer staples sector down 0.48%, the real estate

index down 0.58% and the healthcare sub-index

down 0.91%.

** The smaller Shenzhen index ended down 1.68% and

the start-up board ChiNext Composite index was weaker by

0.715%.

** Around the region, MSCI's Asia ex-Japan stock index

was firmer by 0.96%, while Japan's Nikkei index

closed up 0.55%.