Hong Kong shares close at one-week low, Chinese banks slide

PUBLISHED : Tuesday, 05 November, 2013, 2:46pm
UPDATED : Tuesday, 05 November, 2013, 5:47pm

Hong Kong shares closed at their lowest in a week on Tuesday, with Chinese financials hurt by fears of more competition and the market roiled by hawkish comments from China’s premier.

The official Chinese media reported that a pilot program for privately-owned banks may start early next year.

Ahead of a Communist Party policy meeting opening on Saturday, media quoted Premier Li Keqiang warning against expansion of already loose monetary policy.

The Hang Seng Index finished down 0.7 per cent at 23,039 points, its lowest closing level since October 29.

The China Enterprises Index of the top Chinese listings in Hong Kong shed 0.5 per cent.

Turnover stayed below its 20-day moving average for a third straight session.