Hong Kong stocks fell 98 points, or 0.4% to 25,734 in Tuesday morning’s session, snapping a two-day rally after Wall Street closed lower as investors weighed U.S. President Donald Trump’s tariff threats.
Trump reportedly warned of “200% tariffs or something” on China if it limits rare-earth magnet exports, and vowed retaliation against countries targeting U.S. Big Tech, calling such moves “discriminatory.” The Hang Seng retreated from its highest in almost four years as caution grew ahead of China’s January–July industrial profit data, with sentiment pressured by trade frictions, weak demand, and adverse weather.
Still, losses were capped by strength in mainland markets, up nearly 10% this month on liquidity-driven gains and AI optimism.
Shanghai also scrapped property taxes for first-home buyers and eased suburban purchase limits.
All sectors fell, led by property and tech, with Haidilao (-3.2%), KE Hlds. (-3.5%), Innovent (-3.1%), SMIC (-2.3%), and Li Auto (-1.3%) among top losers.
