HONG KONG - Hong Kong stocks slipped 0.22 percent on Thursday morning as investors grew cautious ahead of earnings from cellular operator China Mobile Ltd. and as oil stocks fell after crude prices dropped to their lowest level in nearly eight weeks.

The benchmark Hang Seng index was down 37.54 points at 17,413.49 by the midsession.

Turnover was HK$16.0 billion (US$2.0 billion), slightly off Wednesday morning's HK$16.7 billion.

"Yesterday, we had a good run, so we're taking a break," said Ernie Hon, strategist at ICEA Securities.

As for China Mobile's earnings, "our expectation is a 20 percent year-over-year growth," Hon said.

"If the results are not very far above expectations, there may be consolidation for the stock."

The market expects China Mobile to post its smallest quarterly earnings growth in a year and a 21 percent year-on-year increase in first-half earnings.

China Mobile ended the morning down 0.6 percent at HK$52.05.

Offshore oil producer CNOOC Ltd., the biggest drag on the Hang Seng index, sank 2.5 percent to HK$6.97 after crude prices fell for a fourth day on Thursday after U.S. data showed crude stocks were relatively robust.

Oil producer PetroChina Co. Ltd. dropped 1.3 percent to HK$8.94.

PC maker Lenovo Group Ltd. tracked U.S. tech shares higher, jumping 4.5 percent to HK$2.8 after computer and printer maker Hewlett Packard Co. said quarterly profit surged from a year earlier.

Traders also cited talk that the former Dell Inc. head of China would take the helm at the world's number-three PC maker.

Hutchison Telecommunications International Ltd., the emerging markets phone arm of tycoon Li Ka-shing's Hutchison Whampoa Ltd., jumped 2.8 percent to HK$13.80 after turning a first-half profit as its fast-growing India unit offset start-up costs at its new operations in Indonesia and Vietnam.

Hutchison Whampoa, the morning's most active stock, rose 0.6 percent to HK$74.20.

Esprit Holdings Ltd., the Europe-focused global retailer, rose 1.5 percent to HK$62.10 in its fourth day of sharp gains as the euro currency maintained its strength.

The country's flag carrier leapt 1.8 percent to HK$2.79 after saying on Thursday its monthly passenger traffic rose 12 percent year-on-year.

Air China also said on Thursday it would list in Shanghai on the lucky date of August 18, raising 4.59 billion yuan ($575 million).