logo
Plus   Neg
Share
Email

Hong Kong Bourse May Extend Thursday's Losses

The Hong Kong stock market headed south again on Thursday, one day after it had 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 25,260-point plateau and it may take further damage on Friday.

The global forecast for the Asian markets continues to be weak, thanks to concerns over global growth and interest rates - while tumbling crude oil prices add to the soft sentiment. The European and U.S. markets were firmly lower and the Asian bourses are expected to follow suit.

The Hang Seng finished sharply lower on Thursday with damage across the board - especially among the financials, properties and casinos.

For the day, the index plummeted 926.70 points or 3.54 percent to finish at 25,266.37 after trading between 25,125.22 and 25,437.85.

Among the actives, AAC Technologies plummeted 7.29 percent, while Tencent Holdings plunged 6.77 percent, Hang Lung Properties tumbled 4.99 percent, Galaxy Entertainment skidded 4.78 percent, AIA Group dropped 4.27 percent, Sands China retreated 4.05 percent, CNOOC declined 3.77 percent, CSPC Pharmaceutical shed 3.58 percent, Ping An Insurance lost 3.55 percent, Industrial and Commercial Bank of China contracted 3.01 percent, New World Development fell 2.83 percent, China Mobile dipped 2.79 percent, Hong Kong & China Gas slid 1.33 percent, China Petroleum and Chemical (Sinopec) was down 1.32 percent, WH Group dropped 1.18 percent and China Mengniu Dairy eased 0.22 percent.

The lead from Wall Street is negative as stocks opened lower on Thursday and showed wild swings before finishing firmly in the red.

The Dow shed 545.77 points or 2.13 percent to finish at 25,052.97, while the NASDAQ lost 92.99 points or 1.25 percent to 7,329.06 and the S&P fell 57.31 points or 2.06 percent to 2,728.37.

The lower close on Wall Street came even though strength in the bond market led to a significant drop by treasury yields. Even with the decrease in yields, traders remained concerned about the outlook for the interest rates as well as the escalating trade war between the U.S. and China.

Treasuries benefited from the release of a report from the Labor Department showing consumer prices rose by less than expected in September. Also, the Labor Department noted a modest increase in first-time claims for U.S. jobless benefits in the week ended October 6.

Crude oil prices tumbled on Thursday after data showed U.S. crude stockpiles to have risen for a third straight week. Crude oil futures for November delivery ended down $2.20 or 3 percent at $70.97 a barrel.

For comments and feedback contact: editorial@rttnews.com

Follow RTT