The Hang Seng Index retreated 1.6 per cent to 16,200.71 at 10am local time, heading for the lowest close since November last year. The Tech Index dropped 1.8 per cent and the Shanghai Composite Index declined 0.5 per cent.
China’s top lender ICBC weakened 0.8 per cent to HK$3.61 while Construction Bank lost 0.7 per cent to HK$4.41. Moody’s lowered their rating outlook to negative from stable to reflect the risk of China’s economic growth. China Merchants Bank tumbled 3.8 per cent to HK$25.55.
Elsewhere, WuXi Biologics failed to sustain a rebound, losing 5.7 per cent to HK$29. Alibaba Group slid 1.7 per cent to HK$68.90 and Tencent lost 2 per cent to HK$305.40.
In Hong Kong, four firms get US$2.6 billion support to stem stocks rout
In Hong Kong, four firms get US$2.6 billion support to stem stocks rout
Meanwhile, China will release its external trade data for November today. Overseas shipments probably showed no growth, after six straight months of contraction, according to economists tracked by Bloomberg. Consumer and producer prices likely fell again last month, other reports over the weekend may show.
The Hang Seng Index has dropped 18 per cent this year, making it the worst performer among the world’s key benchmarks this year, erasing about US$630 billion of market value through this week. The sell-offs have led to a slew of stock buy-back plans from Meituan, WuXi Biologics and Swire Pacific to help stem the rout.
Other major Asian markets all fell. Japan’s Nikkei 225 slipped 1.1 per cent, while South Korea’s Kospi retreated 0.4 per cent and Australia’s S&P/ASX 200 lost 0.2 per cent.