SHANGHAI, March 15 (Reuters) - Hong Kong shares declined while China stocks edged up on Friday after China's central bank left a key policy rate unchanged, while declining home prices dragged property shares lower.

** Hong Kong's benchmark Hang Seng closed down 1.4%, and the Hang Seng China Enterprises Index lost 1.5%.

** China's Shanghai Composite Index edged up 0.2%, while the blue-chip CSI 300 Index gained 0.5%.

** For the week, the CSI 300 rose 0.7%, marking a five-week winning streak amid policy support, and the Hang Seng rose 2.2%.

** Global stocks were set to end the week on a tepid note, following seven weeks of gains, after hotter-than-forecast U.S. inflation knocked back bets for how soon and often the Federal Reserve will cut interest rates.

** China's central bank left the one-year medium-term lending facility rate unchanged while withdrawing cash from a medium-term policy loan operation, as authorities continued to prioritise currency stability amid uncertainty over the timing of expected Federal Reserve interest rate cuts.

** "We expect there is limited room for PBOC (People's Bank of China) policy easing before global central banks start to cut rates," said Lynn Song, chief economist, Greater China at ING.

** China's new home prices dropped for an eighth straight month in February, official data showed, suggesting the fragile property market is struggling to find a bottom despite a slew of measures to shore up the sector.

** New home prices fell 0.3% month-on-month, in line with January's decline. On an annual basis, prices fell 1.4%, faster than the 0.7% drop in January and the biggest decline in 13 months.

** The CSI 300 Real Estate Index lost 0.9%, and the Hang Seng Mainland Properties Index slumped 1.9. Tech giants listed in Hong Kong also lost 1.5%.

** In mainland markets, shares in communications , non-ferrous metal gained 2.1% and 3.5%, respectively.

** Copper prices led gains among metals, buoyed by a potential output cut in top producer China.

(Reporting by Shanghai Newsroom; Editing by Mrigank Dhaniwala and Varun H K)