Hong Kong stocks slip most in over 3 months on protests, trade uncertainty

Guangdong Investment

11/11/2019 08:35

* HK->Shanghai Connect daily quota used 0.7%, Shanghai->HK
daily
quota used 3.2%
    * HSI -2.6%, HSCE -2.5%, CSI300 -1.8%
    * FTSE China A50 -1.6%

    Nov 11 (Reuters) - Hong Kong stocks fell on Monday, posting
their biggest single-day drop in more than three months, amid
worries over the latest development of month-long protests and
renewed uncertainty around a potential Sino-U.S. trade deal.  
    ** The Hang Seng index  .HSI  fell 2.6% to 26,926.55, while
the China Enterprises Index  .HSCE  lost 2.5% to 10,613.63
points, both posting their worst session since Aug 5. 
    ** Hong Kong police shot and wounded one protester, who
hospital officials said was in critical condition on Monday, as
the Chinese-ruled territory spiralled into rare working-hours
violence in its 24th straight week of pro-democracy unrest.
 urn:newsml:reuters.com:*:nL3N27R03D  
    ** U.S. President Donald Trump said on Saturday that trade
talks with China were moving along "very nicely," but the United
States would only make a deal with Beijing if it was the right
deal for America.  urn:newsml:reuters.com:*:nL2N27P078 
    ** That came after his comments on Friday that he has not
agreed to rollbacks of U.S. tariffs sought by China.
 urn:newsml:reuters.com:*:nL2N27O0Q7  
    ** Adding to pressure was latest economic data from the
mainland showing increasing inflation pressure which analysts
believe could hinder Beijing's monetary policy easing to support
the economy. 
    ** China's producer prices fell the most in more than three
years in October, while consumer prices rose at their fastest
pace in almost eight years.  urn:newsml:reuters.com:*:nL3N27P02Y 
    ** "That's the worst combination, with strong CPI and weak
PPI," said Alex Wong, an analyst with Ample Finance Group. 
    ** Hong Kong stocks were also pressured by worries over the
political unrest on the island city, and the uncertainties
around the Sino-U.S. trade talks, Wong said.  
    ** Around the region, MSCI's Asia ex-Japan stock index
 .MIAPJ0000PUS  was weaker by 1.2%, while Japan's Nikkei index
 .N225  closed down 0.26%.
    ** The yuan  CNY=CFXS  was quoted at 7.0074 per U.S. dollar
at 0815 GMT, 0.17% weaker than the previous close of 6.9954. 
    ** At close, China's A-shares were trading at a premium of
28.60% over Hong Kong-listed H-shares.

 (Reporting by the Shanghai Newsroom; Editing by Rashmi Aich)
 ((luoyan.liu@thomsonreuters.com; Reuters Messaging:
luoyan.liu.thomsonreuters.com@reuters.net))