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Renewed Consolidation Called For Hong Kong Shares

The Hong Kong stock market on Wednesday halted the six-day slide in which it had plummeted more than 1,600 points or 5.2 percent. The Hang Seng Index now rests just above the 26,190-point plateau although it figures to head south again on Thursday.

The global forecast for the Asian markets is broadly negative thanks to growing concerns over growth, trade and interest rates. The European and U.S. markets were firmly in the red and the Asian bourses are expected to open in similar fashion.

The Hang Seng finished slightly higher on Wednesday following mixed performances from the financials, casinos and oil and insurance companies.

For the day, the index added 20.16 points or 0.08 percent to finish at 26,193.07 after trading between 26,193.07 and 26,499.84.

Among the actives, China Mobile surged 3.00 percent, while New World Development plummeted 2.66 percent, Tencent Holdings plunged 2.52 percent, China Mengniu Dairy tumbled 2.36 percent, CSPC Pharmaceutical soared 2.22 percent, Henderson Land dropped 1.80 percent, WH Group spiked 1.72 percent, China Petroleum and Chemical (Sinopec) skidded 1.02 percent, CNOOC advanced 0.95 percent, Hong Kong & China Gas perked 0.81 percent, China Life Insurance and China Resources Land both added 0.59 percent, Galaxy Entertainment gained 0.33 percent, Sands China shed 0.29 percent, BOC Hong Kong lost 0.28 percent, Ping An Insurance collected 0.20 percent and Industrial and Commercial Bank of China was unchanged.

The lead from Wall Street is brutal as stocks saw substantial weakness on Wednesday, with the tech-heavy NASDAQ tumbling to a three-month closing low.

The Dow shed 831.83 points or 3.15 percent to 25,598.74, while the NASDAQ plunged 315.97 points or 4.08 percent to 7,422.05 and the S&P tumbled 94.66 points or 3.29 percent to 2,785.68.

Technology stocks led the way lower on Wall Street, with Netflix (NFLX), Amazon (AMZN), Apple (AAPL) and Facebook (FB) all posting significant losses on the day.

The sell-off came amid lingering concerns about the outlook for interest rates following a recent increase in treasury yields. Treasury yields moved higher after the Labor Department reported a rebound in producer prices in September.

The Federal Reserve raised interest rates by a quarter point to 2 to 2.25 percent last month, marking the third rate hike this year. The Fed's projections point to one more increase in rates this year and three rate hikes next year.

Crude oil prices drifted lower on Wednesday, amid prospects of a drop in crude demand due to weak global economic growth outlook. Crude oil futures for November ended down $1.79 or 2.4 percent at $73.17 a barrel.

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