Hong Kong’s rainstorm washes away stock gains in shortened trading while shares in mainland China hold at 3-week high

Hong Kong’s stocks slipped after reopening for trading in the afternoon following a downgrade to the city’s first “black rainstorm” warning of the year. Shares in mainland China held near a three-week high as investors weighed signs of economic recovery against the spread of more infectious Covid-19 strains .

The Hang Seng Index retreated 0.1 per cent from near a four-week high to 29,268.30 after trading resumed at 1.30pm local time. The city’s financial markets were earlier closed for the morning sessions after the Hong Kong Observatory hoisted the warning signal at 8.20am local time. The alert was downgraded at 11.05am.

Geely Automobile led declines among blue chips in Hong Kong, falling 2.1 per cent to HK$25.50 after the Hangzhou-based carmaker scrapped a secondary listing plan in Shanghai. Budweiser Brewing declined 1.8 per cent to HK$25.10, while Sands China dropped 1.7 per cent to HK$32.50.

The Shanghai Composite was little changed after recording a 1.2 per cent gain last week. The CSI 300 Index, which tracks the biggest stocks in Shanghai and Shenzhen, added 0.2 per cent. Both gauges closed at their highest since June 10.