Hang Seng slips by 1.5% at finish

The Hang Seng Index dropped 401 points, or 1.5%, to close at 25,889 on Monday, marking its sixth consecutive session of losses as broad-based weakness across all sectors weighed on the benchmark.

Market sentiment deteriorated further after U.S. President Trump announced on Friday the imposition of 100% tariffs on all Chinese exports, along with new export controls on critical software technologies starting November 1, in retaliation for Beijing’s restrictions on rare earth exports.

Although Trump later attempted to ease tensions by saying that “trade relations with China will be fine,” investors remained cautious amid fears of escalating economic confrontation between the world’s two largest economies.

Hong Kong’s markets fell to their lowest levels in a month, mirroring a pullback in mainland Chinese equities, which recently retreated from decade highs. Losses in the Hang Seng were partly cushioned by stronger-than-expected Chinese trade data showing robust growth in both exports and imports during September, suggesting resilience in external demand. Meanwhile, U.S. equity futures advanced ahead of the upcoming corporate earnings season, helping to limit broader declines in Asia.

Among individual stocks, Xiaomi tumbled 6.1% after reports surfaced of a fire involving its SU7 electric vehicle, raising concerns about safety standards and potential reputational damage.

Property giant China Vanke slid 3.3% following the resignation of its long-serving chairman, which added uncertainty to the sector already struggling with liquidity pressures.

Other notable laggards included Hong Kong Exchanges and Clearing (-3.2%), Meituan (-2.4%), and Tencent (-2.4%). In contrast, Zijin Mining jumped 7.8% to a multi-year high, buoyed by record gold prices and news of its acquisition of a gold mine in Kazakhstan, underscoring strong investor demand for safe-haven assets amid rising geopolitical risks.