The Hang Seng dropped 32 points, or 0.2%, closing at 19,721, reversing earlier gains as most sectors declined.
Hang Seng drops by 1.3% weekly
This marked a second consecutive session of losses, with the index down 1.3% for the week, its first weekly drop in four weeks, driven by a sharp pullback in US futures ahead of the release of the Fed’s preferred inflation data later today. Locally, Hong Kong’s inflation figures will also be announced today. Traders remained cautious as they evaluated the potential impact of fewer US rate cuts next year, following three reductions this year.
What causes the dip
In mainland China, the PBoC kept its key lending rates at record lows, in line with expectations. Notable decliners included Kuaishou Tech (-5.4%), KE Holdings (-3.2%), Want Want China Holdings (-3.0%), and Innovent Biologics (-2.2%). On the upside, Semicon Manufacturing surged more than 8% after the US asked Nvidia to investigate how its products had reached China over the past year. Tencent Holdings climbed 2.7% after introducing a new gifting feature on its WeChat platform.
