Hong Kong stocks fluctuate in volatile trading as tech-driven rally calms down

The Hang Seng Index dropped from a three-year high, falling 0.4 per cent to 23,705.54 as of 10.13am local time. The Hang Seng Tech Index lost 0.7 per cent after briefly touching the 6,000-point mark on Wednesday for the first time since December 2021.

On the mainland, the CSI 300 Index slid 0.2 per cent and the Shanghai Composite Index retreated 0.3 per cent.

The trend of shifting to Chinese stocks has strengthened, analysts said, with investors rotating out of the US and other Asian markets like India and Taiwan after US President Donald Trump’s tariff policies stoked fears of sticky inflation and slowing growth.

Investors are also poised to keep a close eye on the National People’s Congress in Beijing, the annual legislative meeting that will kick off next week. Lawmakers are expected to review the target for economic growth, the fiscal deficit and other development goals.