Hong Kong Stocks Fall as AI Concerns Persist

The Hang Seng Index fell around 1.0%, or 223 points, to about 23,960 on Tuesday as Hong Kong equities resumed trading after Monday’s public holiday, with technology services and retail shares leading losses. Technology stocks remained under pressure amid concerns over the financing of AI infrastructure, elevated borrowing costs and uncertainty over whether heavy investment would deliver sufficient returns. Notable laggards were Lenovo (-5.8%), Tencent fell (-2.0%), Innovent Biologics(-4.4%), MiniMax (-1.4%), and Semiconductor Manufacturing International Corporation (-1.5%). China's decision to keep its benchmark lending rates unchanged at 3.00% and 3.50% offered no additional monetary easing, although stronger-than-expected third-quarter economic growth reduced the immediate pressure for stimulus. Retail trade fell 2.01% and producer manufacturing declined 1.38%, while gains in energy minerals (+0.16%) and electronic technology (+0.34%) provided limited support.