Alibaba and Baidu Push Hang Seng Index to Monthly Low
The Hang Seng Index fell 1% for the second consecutive trading day, dropping 264.6 points to 25,386.52 in Hong Kong on Thursday (May 21). This close was its lowest level since April 2, reflecting continued pressure on the local stock market.
Alibaba Group Holding Ltd. was the main contributor to the decline, falling 4.5%, while Baidu Inc. experienced the largest decline, falling 5.7%. Of the 90 stocks, 59 posted corrections, and two of the four major sectors declined, primarily the trade and industrials sector.
Historically, the Hang Seng Index has fallen 1.5% this month and 2.2% so far this week, heading for its biggest weekly decline since early March. Over the past 52 weeks, the index has still recorded a 6.5% gain, while the MSCI AC Asia Pacific Index has gained 37% over the same period.
The index's valuation shows a trailing price-to-earnings ratio of 13.3 and an estimated forward P/E of 11.5 times. The dividend yield is at 3%, while the market capitalization of index members reaches HK$30.3 trillion. The 30-day price volatility rose to 15.71% from 15.49% in the previous session, indicating increased short-term risk in the Hong Kong market. (asd)
Source: Newsmaker.id
