China's top PC maker, the top blue chip gainer so far this year, fell 7.24 percent to HK$3.52. The outlook was also marred after the world's largest computer maker Dell Inc posted preliminary third quarter earnings below expectations and warned of weak US and British sales.
The blue chip Hang Seng Index ended up 185.89 points at 14,572.26. Volume was in-line with recent averages with HK$19.35 billion ($2.5 billion) worth of shares exchanged.
Top performers included China container port group COSCO Pacific Ltd, which rose 5.1 percent to HK$13.35. The shares had fallen nearly 16 percent in the past month on signs of falling freight rates. The firm trades at just over 10 times forward earnings, below the historical average of 15 for Hang Seng constituent stocks.
Hong Kong flagship carrier Cathay Pacific Airways Ltd was also a top performer, gaining 4.1 percent to HK$12.65. The stock had been pressured by high fuel costs.
"There is bargain hunting. The Hang Seng Index already dropped to near the 250-day moving average," said Kenny Tang, associate director at Tung Tai Securities.
The US Federal Reserve is due to meet to set interest rates later in the day, with a 25-basis-point rate rise widely anticipated in the market.
Hong Kong banks are widely expected to follow suit but rate-sensitive property and bank shares shrugged off rate worries which many blamed for October's steep market falls.
The city's top property developer, Sun Hung Kai Properties Ltd, rose 1.6 percent to HK$74.50.
Hang Seng heavyweight and global bank HSBC Holdings Plc rose 0.66 percent to HK$122.10. Retail and leisure shares rebounded after dropping sharply over the past week on worries about the potential spread of bird flu. Luxury hotelier Hong Kong & Shanghai Hotels Ltd gained 5.16 percent to HK$8.15, while gold retailer Chow Sang Sang Holdings International Ltd rose 3.36 percent to HK$3.07.
China Eastern Airlines jumped for a second straight day, climbing 5.56 percent to HK$1.14, after the firm posted better-than expected third-quarter earnings on Monday and with weaker oil prices boosting the firm's margin outlook.
But gold miner Zijin Mining Group Co Ltd fell 2.04 percent to HK$2.40 after the US dollar strengthened to 2-year highs versus the yen on US rate rise expectations.