Hang Seng Index Falls 347 Points, Technology and Financial Stocks Under Pressure
The Hang Seng Index fell 347 points, or 1.4%, to close at 25,177 on Wednesday, extending its decline from the previous session due to a broad-based decline across sectors. Technology stocks plunged 2.7%, while the consumer discretionary and financial sectors each fell around 1.5%. This decline occurred after trade talks between the US and China ended without significant progress, with the final decision on tariffs being left to President Trump.
Market concerns are also growing ahead of the Fed's interest rate decision scheduled for today. Analysts stated that most Fed officials are likely to wait and assess the inflationary impact of tariffs, especially with Trump's August 1 deadline looming.
Meanwhile, investors' attention is also focused on the release of official and private PMI data for July in China, amid concerns about deflation and the impact of expanding global trade barriers.
However, the Hang Seng's decline was capped by a third straight day of gains on the Chinese mainland stock market, as investors began to speculate on the formation of a bull market. Hang Seng Bank shares plunged 7.3% after its first-half profit fell 30%. CATL shares also fell 5% after Tesla signed a supply deal with LG Energy. Li Auto, Mixue, and Pop Mart also posted sharp declines.(ayu)
Source: Newsmaker.id
