By South China Morning Post | Created at 2025-03-31 02:32:58 | Updated at 2025-04-01 20:45:50
1 day ago
Hong Kong stocks slid to a four-month low on Monday as investor worries about US President Donald Trump’s coming reciprocal tariffs outweighed the positive impact of an official report showing an expansion in China’s manufacturing industry and Beijing’s effort to recapitalise the banking sector.
The Hang Seng Index fell 0.5 per cent to 23,302.82 as of 10.07am local time, heading for the lowest close since March 4. The Hang Seng Tech Index dropped 1.3 per cent. On the mainland, the CSI 300 Index and the Shanghai Composite Index both added 0.1 per cent.
Chinese sportswear maker Li Ning tumbled 7.1 per cent to HK$15.94, and Macau casino operator Sands China lost 5.5 per cent to HK$15.48. Alibaba Group Holding fell 1.9 per cent to HK$120.50, while Tencent Holdings slid 1.4 per cent to HK$502.50. CK Hutchison Holdings, the conglomerate controlled by the Li Ka-shing family, sank 2.8 per cent to HK$43.90 after the company said it was evaluating a plan to spin off its global telecoms business.
Other major markets around Asia tumbled more severely then Hong Kong’s. Japan’s Nikkei 225 lost almost 4 per cent and South Korea’s Kospi retreated 2.4 per cent. Haven trade has taken hold, with spot gold prices rising to a record of US$3,093.14 per ounce.
Trump said he plans to start his reciprocal tariff push with “all countries”, dousing speculation that he could limit the initial scope of tariffs set to be unveiled on April 2. The president, who has touted his coming announcement as a “Liberation Day”, escalated his trade war last week by slapping a 25 per cent levy on all cars not made in the US.
He also said he would consider “secondary tariffs” on Russian oil and those who buy it, if a ceasefire with Ukraine cannot be reached. Russia is the world’s third-largest producer of crude oil.
