New Business
Hong Kong stocks fall from 3-week high as China-US tensions suppress risk appetite
Hong Kong stocks retreated from a three-week high as heightened geopolitical tensions dented investors’ risk appetite.
The Hang Seng Index fell 0.3 per cent to 19,684.35 as of 10.07am local time, on track to end a three-day streak of gains. The Hang Seng Tech Index dropped 0.3 per cent. The CSI 300 Index slid 0.3 per cent and the Shanghai Composite Index retreated 0.1 per cent.
BYD Electronic sank 3.7 per cent to HK$36.85. Property developer New World Development slid 2.7 per cent to HK$6.38 on concerns about corporate governance following the replacement of its CEO. Alibaba Group Holding lost 2 per cent to HK$82.80.
Chipmaker Semiconductor Manufacturing International Corp rallied 1.7 per cent to HK$26.50 on optimism about rising demand for domestic products after China’s state-backed industry associations called for the shunning of US chips.
China plans to restrict exports to the US of minerals that are crucial to technology, the Ministry of Commerce said on Tuesday. The list includes gallium, germanium and graphite, which are vital for both military and civilian applications. The ban came just a day after the Biden administration announced restrictions on exports of cutting-edge chipmaking equipment and materials that are essential for the development of artificial intelligence technology.
The US condemned Beijing’s move and said it would take “necessary steps” to prevent further “coercive” measures.
Source link
