Hong Kong stocks decline for third week as cautious investors resort to profit-taking
US car tariffs’ impact on the US stock market have brought about a correction in Hong Kong, Kingston Securities’ Dickie Wong says
Hong Kong stocks reversed gains on Friday, as investors pulled back ahead of more tariff announcements from the US and concerns about financial pressure facing some companies.
The Hang Seng Index closed 0.7 per cent lower at 23,426.60, after rising as much as 0.8 per cent. It was the benchmark’s third weekly loss. The Hang Seng Tech Index declined 1.5 per cent. On the mainland, the CSI 300 Index traded 0.4 per cent lower, while the Shanghai Composite Index fell 0.7 per cent.
Electric-vehicle maker Nio sank 7.1 per cent to HK$30.25 after it announced a new share placement in Hong Kong to support its business, joining peers BYD and Xiaomi in selling additional shares this month. Xiaomi dropped 1.3 per cent to HK$51.05, while Horizon Robotics declined 3.9 per cent to HK$7.36.
Haier Smart Home dropped 7.5 per cent to HK$24.70 after its full-year net income missed estimates, while Semiconductor Manufacturing International declined 4.7 per cent to HK$48.00 as it was probed by Taiwan’s authority for poaching hi-tech talent.
Having digested US President Donald Trump’s 25 per cent tariffs on car imports, investors are bracing for a slew of new tariffs on April 2, which are likely to fuel inflation in the US.