Hong Kong Stocks End Slightly Down

Hong Kong stocks ended marginally lower on Wednesday, snapping a seven-day winning streak fuelled by optimism over the re-opening of global economies.

The Hang Seng Index inched down 7 points, to 25,049. Troubled airline Cathay Pacific ended down one percent, having soared almost 19 percent at the open a day after announcing a multi-billion-dollar government-led bailout plan.

The benchmark Shanghai Composite Index dipped 0.4 percent, or 12 points, to 2,943, but the Shenzhen Composite Index on China's second exchange gained 0.3 percent, or 5 points to 1,874.

Equities were mixed elsewhere in the region as investors appeared to run out of steam after an extended rally fuelled by economic recovery hopes.

Tokyo, Sydney, Mumbai, Seoul, Taipei and Bangkok were all in positive territory, but Manila, Jakarta and Wellington were lower.

While the World Health Organisation said a record number of new virus cases were registered globally on Monday – with Latin America, India and Russia heavily affected – European nations pressed ahead with easing strict lockdowns that have likely sent the planet into recession.

Among the latest moves, Cyprus welcomed its first tourist flights in almost three months, while France announced the Eiffel Tower would re-open on June 25.

Investor focus is on the end of the Federal Reserve's policy meeting later in the day, the first since the United States began to re-open and Friday's blockbuster jobs report.

The bank's decision will be closely watched, though most observers do not expect it to further ease monetary policy, having pledged vast sums of cash as a backstop to financial markets.

"The relentless rebound in equity markets continues to endure, suggesting no one is willing to call a top," said AxiCorp's Stephen Innes.

"But the primary question remains: has the market's recovery bought the Fed some time not to use all its bullets, or will they keep the pedal to the metal?" (AFP)