Hong Kong Stocks Rebound as Beijing Signals Support, But Trump’s Tariff Threat Looms
Hong Kong’s stock market bounced back on Wednesday, climbing 128 points or 0.5% to 24,202 in early trading, breaking a three-day losing streak as trading resumed after Tuesday’s holiday. The rebound was driven by a surprising uptick in China’s June manufacturing activity, based on a private survey, and renewed policy support signals from Beijing.
President Xi Jinping pledged tighter regulation against aggressive price-cutting practices, aiming to mitigate deflation risks — a move that boosted investor confidence. Market participants interpreted this as a sign that further economic stabilization measures may be on the way.
However, gains were tempered after U.S. President Donald Trump reaffirmed his hardline stance on trade, refusing to delay the July 9 deadline for reinstating higher tariffs. He also escalated rhetoric, threatening to halt trade negotiations and apply new duties on multiple countries, casting a shadow over broader market sentiment.
The rally was led by property and financial stocks, with top performers including Galaxy Entertainment (+7.3%), Sands China (+7.2%), Henderson Land Development (+4.2%), and Mixue Group (+3.5%). In contrast, the Hang Seng Tech Index slipped, mirroring weakness in U.S. tech shares as investors rotated out of the sector at the start of H2 2025.
Source: Newsmaker.id
