Hong Kong Shares Up, But Fears Weigh Down Asia

Hong Kong stocks ignored an Asian retreat on Wednesday as regional investors grew nervous about the chances of success in China-US trade talks ahead of a crunch meeting next week.

The Hang Seng Index added 0.1 percent, to 27,021.

But on the mainland, the Shanghai Composite Index was down 0.1 percent, to 2,576 while the Shenzhen Composite Index also was lucklustre, down 0.1 percent, to 1,312.

Tokyo ended the morning marginally higher. Sydney and Singapore were down 0.1 percent while Seoul added 0.5 percent, with Wellington, Taipei and Manila all lower.

Data showing the mainland economy grew at its weakest pace in three decades added to investors fears that it is heading for a hard landing, while Xi Jinping also showed signs of worry about the effects of a slowdown in a speech to top provincial leaders this week.

"Investors obviously are still a little bit edgy and therefore we would expect periods of volatility to continue," Mark Hackett, chief of investment research at Nationwide Funds Group, said.

"As the headlines continue to get more nerve-wracking with regards to a global slowdown and trade wars and government shutdowns, it's easy to spook investors, but we think those are temporary versus permanent." (AFP)

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