Daily Report | Hang Seng Index loses 1.6pc during October
Insurance companies hit hard after state-run UnionPay curbs the use of its payment services for mainland purchases in Hong Kong
Hong Kong stocks ended lower on the last trading day in October, led by insurers, which were hit hard by mainland China’s renewed restrictions over policy purchases in the city by mainland residents.
The Hang Seng Index closed 0.09 per cent lower at 22,934.54 points after fluctuating into the positive territory for most of the day, giving it a monthly loss of 1.56 per cent. The H-share index managed to rise by 0.46 per cent for the day to close at 9,559.39 points.
Major mainland banks climbed broadly, with Bank of Communications up 1.7 per cent to HK$5.91 after it reported a 1 per cent increase in net income for the third quarter.
China Construction Bank Corp rose 1.4 per cent to HK$5.68 amid a 1.3 per cent gain in net profit for the third quarter. China Minsheng Banking Corp edged up 0.1 per cent to HK$8.85.
The banking gains helped offset steep losses in insurance firms following Beijing’s move to impose renewed restrictions over policy and product purchases in Hong Kong by mainland residents.
Pan-Asian life insurer AIA Group sank 4.8 per cent to HK$48.95, making it the biggest loser among blue chips. It was also the most heavily traded stock, with a daily turnover of HK$4.67 billion.