Hang Seng Index suffers biggest drop in three years as regional markets plunge
Hong Kong stocks yesterday fell the most in three years as markets throughout the region tumbled on concerns over a strengthening yen and a possible slowdown of the US economy.
The Hang Seng Index plunged 4 per cent, the largest one-day percentage drop since November 2003, and 777.13 points - the biggest one-day point loss since September 12, 2001 - to close at 18,664.88.
Since Monday last week, the blue-chip index has lost more than 1,800 points, or 9 per cent.
The Hang Seng China Enterprises Index, which tracks 37 Hong Kong-listed mainland companies, plummeted 5.09 per cent, or 457.45 points, to close at 8,528.46.
About HK$619.5 billion was wiped off the market's value yesterday. Turnover was HK$72.44 billion, the fifth highest ever.
The current stock slump was triggered last week by the biggest drop on the mainland market in a decade. That fed into fears about the state of the US economy and, with many of the world's markets climbing to levels not seen since the dotcom bubble, fears that share prices had risen too far too quickly.