Advertisement

Hong Kong stocks slip from three-month high as WuXi Biologics, Alibaba lead tech retreat

  • Hang Seng Index members added US$53.3 billion in market value in April and May amid tentative signs of economic recovery momentum
  • Tech stocks led by WuXi Biologics and Alibaba paced losses on amid concerns their powerful rally this week may be too much too fast

Reading Time:2 minutes
Why you can trust SCMP
2
A woman walks past a bank's electronic board showing the Hang Seng Index index on June 1. Photo: AP
Zhang Shidongin Shanghai
Hong Kong stocks declined from a three-month high on concerns the run-up may be overdone amid debates about the strength of economic recovery in China and the US.
Advertisement
The Hang Seng Index retreated 0.6 per cent to 29,297.62 at the close. The benchmark on Tuesday reached the highest level since March 3, as it attempted to break out from a 200-point trading band. China’s Shanghai Composite Index slid 0.8 per cent.

Chinese technology stocks that rallied hard earlier this week surrendered some of their gains as the Hang Seng Tech Index lost almost 1 per cent. Meituan dropped 0.4 per cent to HK$311.80, halting an 18 per cent rally in the previous two days.

Alibaba Group Holding, the owner of this newspaper, sank 1.7 per cent to HK$214.40 while its unit Alibaba Health Information Technology lost 1.6 per cent to HK$19.40. WuXi Biologics tumbled 3.8 per cent to HK$120.90.

Traders are looking for fresh catalysts that can help further propel the Hang Seng Index after the gauge’s 55 members added US$53.3 billion in market value in April and May, amid tentative signs of recovery momentum in mainland China and Hong Kong economy and the risks of inflation and policy tightening.
Advertisement
Advertisement