Hang Seng Posts Biggest Drop Since February 2
The Hang Seng Index weakened again for the second consecutive day in Hong Kong trading on Friday (February 13), falling 1.7%, or 465.42 points, to 26,567.12. This decline was the largest since February 2, when the index fell 2.2%, indicating renewed selling pressure and a defensive market sentiment.
Today's sell-off appeared quite severe, driven by large-cap stocks. HSBC Holdings Plc contributed the largest decline to the index, falling 2.7%. Meanwhile, Zijin Mining Group Co. was the biggest decliner, plunging 7.6%, emphasizing pressure on certain stocks sensitive to changes in risk sentiment and commodity prices.
What made this correction "serious" was the breadth of the decline within the index. Of the 88 stocks making up the Hang Seng, 68 fell, only 16 rose, while the rest remained unchanged. All sectors were in the red, with financial stocks leading the decline. This indicates that pressure was not localized to one or two stocks, but rather spread across various sectors.
With such a widespread decline, today's movement in the Hang Seng indicates the market is reducing risk exposure, particularly in stocks that have historically supported the index. If pressure persists, market participants will typically wait for the next catalyst—whether from a macro perspective, regional developments, or global sentiment—before aggressively adding to their positions.
Source: Newsmaker.id
