Hong Kong stocks slip as investors eye Nvidia earnings amid US-China tech tensions
Chinese AI chipmaker Cambricon rises after posting a first-half net profit of 1.03 billion yuan, swinging from a year-earlier loss
Hong Kong stocks fell on Wednesday after tech-driven gains lost steam, as investors awaited Nvidia’s earnings for clues on the durability of the rally and the outlook for the industry amid the US–China tech war.
The Hang Seng Index closed 1.3 per cent lower at 25,201.76. The Hang Seng Tech Index shed 1.5 per cent. On the mainland, the CSI 300 Index slid 1.5 per cent, while the Shanghai Composite Index retreated 1.8 per cent, the largest one-day drop since April 7.
State-owned property manager China Resources Mixc Lifestyle Services tumbled 9.1 per cent to HK$37.84. Mainland developers Longfor Group Holdings dropped 3.7 per cent to HK$10.69 and China Overseas Land and Investment declined 2.8 per cent to HK$13.81.
Hanosh Pharmaceutical Group slumped 5.7 per cent to HK$35.52 and CSPC Pharmaceutical Group sank 6.4 per cent to HK$9.72. Short-video platform Kuaishou Technology dropped 3.4 per cent to HK$76.45, while on-demand delivery platform Meituan declined 3.1 per cent to HK$116.30 ahead of its earnings report later on Wednesday.
“Hong Kong remains more vulnerable to global headwinds – from Fed policy to Nvidia earnings – keeping investors wary of chasing rallies,” said Charu Chanana, chief investment strategist at Saxo in Singapore.
On Tuesday, Chinese AI chipmaker Cambricon Technologies posted a dramatic financial turnaround, achieving a first-half net profit of 1.03 billion yuan (US$144 million) compared with a loss in the previous year. Revenue surged around 44-fold from a year earlier to 2.9 billion yuan, driven by robust domestic demand for AI chips and government support for home-grown technology.