Hong Kong stock market hits 13-month low as Hang Seng Index plunges below 16,000 psychological support

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11th December 2023 – (Hong Kong) Hong Kong stock market experienced a significant downturn this morning as the Hang Seng Index dropped below the 16,000-point mark, hitting a 13-month low of 15,982 points, with a decline of over 350 points. As of 11.06am, the Hang Seng Index was hovering around 16,005.40, reflecting a further decline of 328.97 points or 2.01% from the previous close. The Hong Kong stock market’s overall performance was marred by a bearish sentiment, as both the Mainland Enterprises Index and the Technology Index also registered substantial losses of 140 points and 90 points, respectively. The total trading volume on the main board amounted to approximately HK$38 billion.

The downward trend was largely driven by the substantial decline in the shares of major technology and internet companies. JD.com’s stock, for instance, plummeted by nearly 6%, breaching its previous support level. Other prominent technology firms also experienced significant drops, with Baidu down by 3.6%, Alibaba falling by 3.7% to reach a new low for the year, and Meituan dropping by 3.4%. Xiaomi Corporation, Ctrip.com, NetEase, and Tencent Holdings also saw declines of 2.7%, 2%, 1.2%, and 2% respectively, with Tencent breaching the critical support level of HKD 300.

The financial sector also witnessed notable losses, with China Merchants Bank declining by 4.1%, Hong Kong Exchanges and Clearing Limited dropping by 3.7%, Industrial and Commercial Bank of China down by 3%, and China Ping An Insurance falling by 2.9%. China Construction Bank and Bank of China also experienced decreases of 2.2%. However, HSBC Holdings managed to buck the trend with a slight increase of 0.1%, while AIA Group Limited saw a decline of 1.1%.