Hong Kong Stocks Down After First Session

Hong Kong stocks edged down in the morning session on Monday as investors weighed signs of fresh virus outbreaks around the world against the reopening of economies from lockdowns.

The Hang Seng Index eased 0.3 percent, to 24,564.

Investors were apparently unmoved by reports that Beijing will set up a "national security agency" in the city to oversee a controversial security law, which is said to override any existing legislation in the city.

The bill has raised fears it will end the financial hub's limited freedoms.

On the mainland, the Shanghai Composite Index rose 0.3 percent, to 2,975 while the Shenzhen Composite Index gained 0.5 per cent to 1,940.

Tokyo and Seoul both rose 0.1 percent, while Singapore put on 0.5 percent. There were also gains in Sydney, Taipei and Jakarta.

Manila and Wellington were each down around 0.5 percent apiece.

"Shares remain technically overbought and vulnerable to a further correction or period of consolidation, but we continue to see it as a pause in a rising trend," said Shane Oliver at AMP Capital Investors.

Oil prices edged up after a healthy advance on Friday, as output cuts by major producers and hopes for rising demand tempered worries over new infections. (AFP)

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