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Hong Kong shares ended weaker on Monday after a surprise drop in Chinese exports and imports in December heightened concerns over an economic slowdown in the world's biggest trading nation and deteriorating global demand.

At the close of trade, the Hang Seng index was down 1.38 percent at 26,298.33 points. The Hang Seng China Enterprises index dropped 1.55 percent to 10,292.44 points.

China's December exports unexpectedly fell the most in two years and imports contracted, official data showed on Monday, pointing to further weakening in the world's second-largest economy and soft global demand.

The IT sector closed 2.58 percent weaker, the financial sector ended 1.07 percent lower and the property sector closed 1.03 percent down. The top gainer on the Hang Seng was Bank of Communications Co Ltd, which ended 0.48 percent higher, while the biggest loser was CNOOC Ltd, which closed 4.99 percent lower.

The weak Chinese data pulled oil prices 1 percent lower on Monday, with Brent crude slipping below $60 per barrel, weighing on energy firms. The sub-index of the Hang Seng tracking energy shares dipped 2.6 percent.

The top gainers among H-shares were Guangdong Investment Ltd, which closed up 1.06 percent, followed by Anhui Conch Cement Co Ltd, which ended 0.79 percent higher and Bank of Communications Co Ltd, which closed 0.63 percent firmer.

Copyright Reuters, 2019


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