Hong Kong stocks drop for a seventh straight day as fears grow about mainland Chinese coronavirus outbreaks
- The seven-day slide marks the Hang Seng Index’s worst sequence since July
- Chinese sportswear companies were the biggest gainers on the benchmark gauge
The Hang Seng Index fell 0.3 per cent to 25,024.75 at the close of Wednesday trading. The seven-day slide marked the benchmark’s worst sequence since July 8.
The Hang Seng Tech Index retreated 0.7 per cent, dragged down by a 6.4 per cent decline in Ping An Healthcare. Tencent Holdings erased earlier losses to gain 1.1 per cent as the tech giant unveiled development plans for three chips, while Meituan gained 2.2 per cent.
Chinese sportswear companies were the biggest gainers on the Hang Seng gauge. Li Ning jumped 6.7 per cent to HK$87.30, while Anta Sports Products rose 3 per cent to HK$122.20. Property developers Country Garden Holdings and Henderson Land racked up gains of at least 1 per cent.
Losers on Wednesday included solar power glass manufacturer Xinyi Solar, which crashed 7.3 per cent to HK$14.24, and miniature electronics supplier AAC Technologies, which slumped 3.8 per cent to HK$31.90. Shenzhou International Group, a Chinese knitwear manufacturer and exporter, declined 3.2 per cent to HK$160.10.
The market faces headwinds “with all of the three horse carriages showing signs of slowdown”, said Will Shum, portfolio management director in Hong Kong at iFast Financial, referring to China’s three main growth drivers of consumption, investment and exports.
On the mainland, Beijing Dataway Horizon, a data analysis provider, surged 142 per cent to 46.82 yuan on its first day of trading in Shenzhen.
US equities rose overnight to record highs buoyed by strong corporate earnings.
Other major markets in Asia were mixed on Wednesday. The Australian stock benchmark advanced 0.9 per cent, equities in South Korea retreated 1.3 per cent, while Japanese markets were closed for a holiday.