Foxconn International Holdings Ltd., the world's biggest contract maker of mobile phones, rose for the first time this week in Hong Kong trading after a 21 percent drop in the past four days lured investors.

The handset maker rose 0.8 percent to HK$3.84 as of 10:42 a.m. local time, headed for its first gain since Sept. 19. Hong Kong's benchmark Hang Seng Index fell 1 percent.

The stock's 14-day relative strength index, which shows how rapidly prices have advanced or dropped, fell to 27 yesterday, below the 30 threshold some investors use as a signal to buy. Foxconn, more than 70 percent owned by Taiwan's Hon Hai Precision Industry Co., is the worst performing stock in the Hang Seng Index this year amid concerns Nokia Oyj and its other customers will cut orders amid an economic slowdown.

Nokia, Foxconn's biggest customer, said this month that its market share would drop in the third quarter after rivals cut prices and the release of one of its mid-range handsets was delayed. Demand will be hurt by ``weak consumer confidence in multiple markets,'' the Espoo, Finland-based company said.

Societe Generale told clients on Sept. 24 to sell call options on Nokia on concern ``weaker consumer confidence and pricing competition could be far from temporary.'' American-style call options give the buyer the right to buy stock at a pre-agreed price by a specific date.

Sony Ericsson Mobile Communications Ltd., Foxconn's second- biggest customer, expects the worldwide mobile-phone market will continue to be tough next year, Svenska Dagbladet reported Sept. 25, citing Chief Executive Officer Dick Komiyama.

Foxconn shares have fallen 8 percent this year, compared with a 42 percent decline in the Hang Seng Index.

Source:Bloomberg