Hong Kong shares log worst slump in five months on Ukraine crisis, tech crackdown fears

Nongfu Spring

22/02/2022 08:46

* HSI -2.7%, HSCE -2.2%
    * Fresh fears over China regulatory crackdown drives tech
rout
    * Oil refiners gain on higher crude prices

    SHANGHAI, Feb 22 (Reuters) - Hong Kong shares closed lower
on Tuesday, with the Hang Seng index witnessing its biggest
daily drop in five months, as worsening Ukraine crisis and fears
over a fresh round of regulatory crackdowns in the tech sector
rattled sentiment.

** At the close of trade, the Hang Seng index  .HSI  was down
650.07 points or 2.69% at 23,520.00, logging the steepest slump
since Sept. 20. The Hang Seng China Enterprises index  .HSCE 
fell 2.19% to 8,270.69. 
    
** Leading the losses, the IT sector  .HSCIIT  dipped 1.76% and
the financial sector  .HSNF  slumped 3.18%.
    
** Investors dumped riskier equity assets after Russian
President Vladimir Putin recognised two breakaway regions in
eastern Ukraine as independent.  urn:newsml:reuters.com:*:nL1N2UX068               
    
** Investor worries over the potential for a fresh wave of
regulatory crackdowns in China's tech firms set off steep drops
in tech shares, including food delivery giant Meituan  3690.HK ,
which was among the worst H-share decliners.  urn:newsml:reuters.com:*:nL4N2UX214 
    
** Chinese authorities have told state-owned firms and banks to
start a fresh round of checks on their financial exposure and
other links to Ant Group Co Ltd, Bloomberg News reported on
Monday, citing people familiar with the matter.  urn:newsml:reuters.com:*:nL4N2UX0TI    
       
 
** The sub-index of the Hang Seng tracking energy shares
 .HSCIE  rose 0.3%, bucking the broader market slump on higher
oil prices, with PetroChina Co Ltd  0857.HK  as the top gainer
on the Hang Seng.
 
** China's main Shanghai Composite index  .SSEC  closed down
0.96% at 3,457.15 points, while the blue-chip CSI300 index
 .CSI300  ended down 1.3%.
 
** Around the region, MSCI's Asia ex-Japan stock index
 .MIAPJ0000PUS  was weaker by 1.55%, while Japan's Nikkei index
 .N225  closed down 1.71%.
 
** The yuan  CNY=CFXS  was quoted at 6.3374 per U.S. dollar at
08:12 UTC, 0.03% weaker than the previous close of 6.3352. 

 (Reporting by the Shanghai Newsroom; editing by Uttaresh.V)
 ((zoey.zhang@thomsonreuters.com))