Hong Kong Stocks and China Stocks Experience Decline: Hang Seng Index and Shanghai Composite Index Under Pressure
Market Overview
Hong Kong stocks fell to a one-week low as weak earnings reports from electric-vehicle makers Li Auto and BYD fueled concerns over shrinking margins in the industry. The Hang Seng Index slipped 0.4% to 17,618.23 at 9.56am local time, while the Hang Seng Tech Index tumbled 1.9% and the Shanghai Composite Index retreated 0.4%.
Electric Vehicle Makers Struggle
- Li Auto shares sank 14% to HK$70.05.
- BYD lost 2.7% to HK$220 amid missed profit projections.
- Xpeng slid 8.2% to HK$28.40.
Nvidia's Impact on Tech Stocks
Risk appetite waned further as Nvidia plunged 7% in overnight trading in New York, lowering its sales guidance to US$32.5 billion for the third quarter, below analysts' expectations of US$37.9 billion.
Other Market Movements
- SMIC decreased by 0.6% to HK$16.30.
- Tencent declined 0.7% to HK$371.60.
- Meituan advanced 8.7% to HK$111.70 after strong quarterly earnings.
Regional Market Trends
Major Asian markets also faced challenges, with Japan's Nikkei 225 down 0.5%, South Korea's Kospi retreating 0.7%, and Australia’s S&P/ASX 200 losing 0.6%.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.