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Hong Kong Bourse May Take Further Damage On Monday

The Hong Kong stock market on Friday snapped the two-day winning streak in which it had advanced almost 150 points or 0.6 percent. The Hang Seng Index now rests just beneath the 25,940-point plateau and it may extend its losses on Monday.

The global forecast for the Asian markets is negative on perpetual trade concerns between the United States and China. The European and U.S. markets were down on Friday and the Asian bourses are expected to open in similar fashion.

The Hang Seng finished modestly lower on Friday following losses from the casinos, financials. Properties and oil and insurance companies.

For the day, the index lost 181.50 points or 0.69 percent to finish at the daily low of 25,939.30 after peaking at 26,313.78.

Among the actives, China Mobile surged 2.93 percent, while Wharf Real Estate plummeted 2.63 percent, CITIC plunged 2.59 percent, AAC Technologies tumbled 2.43 percent, BOC Hong Kong and AIA Group both skidded 1.81 percent, Galaxy Entertainment retreated 1.67 percent, Sands China declined 1.41 percent, China Life Insurance sank 1.20 percent, Ping An Insurance contracted 1.19 percent, Tencent Holdings shed 1.17 percent, CNOOC lost 1.01 percent, CSPC Pharmaceutical fell 0.96 percent, China Mengniu Dairy advanced 0.81 percent, China Petroleum and Chemical slid 0.42 percent, Industrial and Commercial Bank of China was down 0.20 percent, Hong Kong & China Gas added 0.12 percent and WH Group, New World Development and Techtronic Industries were unchanged.

The lead from Wall Street is soft as stocks opened lower Friday, made back some ground as the day progressed but still ended in the red.

The Dow shed 90.76 points or 0.34 percent to finish at 26,287.44, while the NASDAQ lost 80.02 points or 1.00 percent to 7,959.14 and the S&P 500 fell 19.44 points or 0.66 percent to 2,918.65. For the week, the Dow shed 0.7 percent, the NASDAQ lost 0.6 percent and the S&P fell 0.5 percent.

The weakness on Wall Street came after President Donald Trump told reporters the U.S. is not going to do business with Chinese tech giant Huawei. Trump also indicated he is not ready to make a trade deal with China, suggesting the U.S. could skip the next round of trade talks in September.

In U.S. economic news, the Labor Department noted a modest increase in producer prices in July.

Crude oil prices rose sharply on Friday, extending recent gains on reports Saudi Arabia will cut crude exports next month. West Texas Intermediate Crude oil futures for September ended up $1.96 or 3.7 percent at $54.50 a barrel.

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