Hong Kong Stocks Retreat
The Hang Seng Index declined 0.6%, or 145 points, to 24,134 on Wednesday, reversing part of previous session's rebound, as renewed gains in oil prices revived inflation and interest-rate concerns. Brent crude rose above US$101 a barrel after a storm threatened US Gulf oil facilities and Iran-backed Houthis launched attacks on targets in Saudi Arabia, raising concerns over global energy supplies. The rise in oil prices offset positive cues from Wall Street, while markets continued to scale back expectations for another Federal Reserve rate hike this month. Hong Kong trading also remained subdued as mainland Chinese markets and Southbound Stock Connect stayed closed for the National Day holiday, limiting mainland buying support. Healthcare and technology stocks, which led Tuesday’s rebound, came under renewed selling pressure, with Tencent (-0.8%), Wuxi Biologics (-3.3%), Genscript Biotech (-14.4%), Xiaomi (-1.1%), and InSilico Medicine Cayman (-8.7%) among the notable decliners.
6%, or 145 points, to 24,134 on Wednesday, reversing part of previous session's rebound, as renewed gains in oil prices revived inflation and interest-rate concerns. Brent crude rose above US$101 a barrel after a storm threatened US Gulf oil facilities and Iran-backed Houthis launched attacks on targets in Saudi Arabia, raising concerns over global energy supplies. The rise in oil prices offset positive cues from Wall Street, while markets continued to scale back expectations for another Federal Reserve rate hike this month.
Hong Kong trading also remained subdued as mainland Chinese markets and Southbound Stock Connect stayed closed for the National Day holiday, limiting mainland buying support. 7%) among the notable decliners.