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Hong Kong stock market
BusinessChina Business

Hong Kong stocks dip on Trump tariffs as investors await China’s response

The tariffs could slow China’s economic growth and lead the central bank to hold back on monetary policy easing, Goldman Sachs says

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A view of Exchange Square in Central, home of the city’s bourse operator, on January 9, 2025. Photo: Jelly Tse
Yulu Ao
Hong Kong stocks fell on Monday in the first trading since US President Donald Trump announced tariffs on Chinese goods, as investors hoping for an auspicious start to the Year of the Snake instead faced the prospect of a renewed trade war.

The Hang Seng Index lost 0.04 per cent to 20,217.26 on Monday, after dropping as much as 2.3 per cent in earlier trading as the market opened after a three-day break. The Hang Seng Tech Index added 0.3 per cent.

Mainland stock exchanges were closed for the Lunar New Year holiday and will resume trading on Wednesday. The benchmark CSI 300 index lost 3 per cent in January.

Technology giant Baidu fell 3.8 per cent to HK$84.45, and electric-vehicle maker Li Auto slumped 5.7 per cent to HK$86.65. Casino operator Sands China lost 7 per cent to HK$17.30, while peer Galaxy Entertainment declined 5.9 per cent to HK$31.30.

Limiting losses, chipmaker Semiconductor Manufacturing International, known as SMIC, jumped 10.3 per cent to HK$41.90, and e-commerce giant Alibaba Group Holding advanced 6.5 per cent to HK$94. Alibaba owns the Post.

Additionally, Hong Kong-listed stocks associated with artificial intelligence (AI) bucked the downwards trend amid high interest in Chinese AI firm DeepSeek. Kingsoft Cloud jumped 31 per cent to HK$7.82, Ainnovation Technology jumped 14.5 per cent to HK$6.65 and SenseTime added 5 per cent to HK$1.69.
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