Hong Kong stocks drop as US-Iran tensions lift oil
Hang Seng fell 1.1% to 25,307 at the open Tuesday. Renewed US-Iran tensions pushed Brent higher, raising inflation and further monetary tightening concerns, while China manufacturing signs were mixed and property weakness persisted.
The Hang Seng Index fell 1.1%, or 260points, to 25,307 at the open on Tuesday, as renewed US-Iran tensions pushed oil prices higher and heightened concerns over inflation and further monetary tightening.
Brent crude extended its advance after the latest escalation raised risks of prolonged disruptions to energy flows through the Strait of Hormuz.
The decline came despite signs of improving Chinese manufacturing activity.
China’s RatingDog Manufacturing PMI rose to 51.5 in August from 50.9 in July, pointing to a stronger expansion in private-sector factory activity.
Meanwhile, Shein made its long-awaited Hong Kong debut, but shares fell sharply after opening, dropping more than 9% shortly after trading began.
The company raised HK$13.6 billion in its IPO at HK$48.56 per share, valuing it at about US$26.5 billion.
Renewed weakness in China’s property sector also weighed on sentiment.
Notable laggards included Tencent (-2.1%), AIA (-0.2%), Kingboard Laminates (-2.9%), and Meituan (-1.1%).