Hong Kong snap 2-day rally as investors turn cautious ahead of US data
- Trip.com’s shares fell after it unveiled a US$1.7 billion convertible bond issue, with Citigroup analysts saying hedging could cause near-term share price volatility
The Hang Seng Index fell 0.10 per cent to close at 18,424.96, after rising as much as 1.5 per cent midsession. The Tech Index added 0.3 per cent, while the Shanghai Composite Index eased 0.8 per cent.
“US non-farm payrolls data looms large this week and has the potential to shift rate-cut expectations from the Fed,” said Tim Waterer, the chief market analyst at KCM Trade in Sydney. “Some high profile risk events are still to come for financial markets this week. I think investors are erring on the side of caution and taking some risk off the table.”
US markets rose overnight after data showed job openings fell more than estimated in April to the lowest point in over three years, reviving speculation of an early cut to interest rates.
Job openings, a measure of labour demand, fell 296,000 to 8.059 million in April, the lowest since February 2021, according to the US Labor Department. Economists polled by Reuters had forecast 8.355 million job openings in April.