Hong Kong Slips Into Red As Trade War Threats Rise

Hong Kong stocks were lower by the break after a slight rally in early trading on Wednesday that had tracked overnight gains on Wall Street.

The Hang Seng Index edged down 0.1 percent, to 30,157 by the break.

On the mainland, the Shanghai Composite Index climbed 0.8 percent, to 3,161 while the Shenzhen Composite Index rose 0.6 percent, to 1,854.

Most Asian stock markets staged a modest bounce-back at the start but gains were tepid as investors eyed a heating-up of trade rhetoric between the world's two biggest economies, China and the United States.

Tokyo rose 0.5 percent driven by a weaker yen, which benefits exporters. But it gave up most of it by lunch and was up 0.1 percent up in the afternoon trade.

Australia and South Korea were marginally in the red as traders digested the latest volley in a brewing trade war. (AFP)

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