HK stocks end week on tepid note as trade angst, protests weigh
- Country:
- China
Hong Kong stocks ended the week lower, dampened by renewed doubts over the prospects of a Sino-U.S. trade deal and on signs of economic damage from persistent anti-government protests in the Asian financial hub.
** The Hang Seng index ended down 2% at 26,346.49 on Friday, while the China Enterprises Index lost 2.5% to 10,301.82. ** For the week, HSI was down 0.9%, while HSCE slid 1.9%.
** Sino-U.S. tensions flared after the U.S. government's decision to sign a bill backing anti-government protesters in Hong Kong. ** China warned the United States on Thursday that it would take "firm counter measures" in response to U.S. legislation backing anti-government protesters in Hong Kong, and said attempts to interfere in the Chinese-ruled city were doomed to fail.
** "The main concern is still the trade deal," said Alex Wong, a director at Ample Finance Group in Hong Kong. ** "We are in thin trading, so as we break out on the downside some people will chase (the sell-off)," he added.
** Market participants were also worried about signs of more economic damage as the island city geared up for weekend protests. ** Hong Kong braced for a fresh wave of protests over the weekend as police on Friday withdrew from a university campus, which was the site of some of the worst clashes between protesters and security forces in nearly six months of unrest.
** Hong Kong private home prices slipped for a fifth consecutive month in October as the Asian financial hub grapples with its biggest political crisis in decades, although the pace of decline slowed. ** "Looking at the social and market situation, the price index will continue to decline in November and December," said Thomas Lam, executive director of property consultancy Knight Frank.
** Luxury brands are likely to retreat from Hong Kong as the city is wracked by protests at a time when wealthy Chinese shoppers are staying on the mainland, consultancy Bain said on Thursday, highlighting a shift that is reshaping the global industry. ** Around the region, MSCI's Asia ex-Japan stock index was weaker by 1.14%, while Japan's Nikkei index closed down 0.49%.
** The yuan was quoted at 7.0276 per U.S. dollar at 0814 GMT, 0.1% firmer than the previous close of 7.0348. ** At close, China's A-shares were trading at a premium of 29.42% over Hong Kong-listed H-shares.
(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)
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- Hong Kong
- China Enterprises Index
- Hang Seng index
- Sino
- Asian
- MSCI
- Japan
- Knight Frank
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