Hong Kong stocks fell on Tuesday as broader Asian stock markets diverged as worries about the prospect of persistently high interest rates rattled investor confidence.
The Hang Seng index lost as much as 1.8%, with big losses for tech and healthcare stocks. The Chinese CSI 300 also fell 0.7%.
Alibaba Health Information Technology, the e-commerce group’s e-health subsidiary, fell about 4.6% in the morning, while Lenovo, the world’s largest personal computer maker, and the platform Meituan food delivery companies lost 3.2% and 3% respectively.
Technology stocks are particularly sensitive to interest rate expectations.
Losses in China and Hong Kong followed similar declines in the United States, where the S&P 500 and Nasdaq Composite fell 0.7% and 1%, respectively, following the central bankers’ Jackson Hole summit. global.
Policymakers from the US Federal Reserve and European Central Bank used speeches at the meeting to reiterate their commitment to fighting inflation.
But elsewhere in Asia, markets were more bullish on Tuesday morning, with Japan’s Topix and South Korea’s Kospi up 1.2% and 0.6%, respectively.
Oil prices moderated after strong gains the day before, with international benchmark Brent crude down 0.6% and US marker West Texas Intermediate down 0.3%.