Hong Kong Stocks Slide As Profit Takers Step In

Hong Kong stocks ended the morning down more than 1 percent Thursday as profit-takers stepped in following an extended rally and after a broad sell-off on Wall Street.

The Hang Seng Index slipped slightly over 1 percent, to 24,791.

On the mainland, the Shanghai Composite Index gained 0.2 percent, to 2,950 while the Shenzhen Composite Index rose 0.7 percent, to 1,889.

The strength in the Japanese unit sent Tokyo stocks down 1.1 percent in the morning session.

Sydney and Singapore each shed 1.9 percent. Manila, Wellington and Jakarta were also lower, though Taipei and Seoul were marginally higher.

The losses followed a negative lead from Wall Street where the Dow and S&P 500 slipped for a second day, though the Nasdaq broke 10,000 points for the first time.

Adding to the unease were fears of a second wave of virus in the US, just as states ease lockdowns, with Texas, Florida and California reporting spikes in new infections.

"While it is far easier to write a list of things the market doesn't care about right now, the second wave of coronavirus is the sum of all fears for the investors," said AxiCorp's Stephen Innes.

"Hence the adverse market reaction (to reports) that Texas surpassed 2,000 hospitalised coronavirus patients for the first time on Tuesday. Frankly, this will be something that will haunt the market until a vaccine is in the hands of everyone around the world." (AFP)

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