HSI Ends In Losses As Covid Fears Persist

Hong Kong stocks lost ground while regional markets were mixed on Monday as investors stayed cautious amid surging virus cases, while waiting for updates on a US$908 billion stimulus package and the Federal Reserve’s policy meeting.

Locally, shares seesawed between small gains and losses in the morning. But selling accelerated in the afternoon.

The Hang Sang Index closed 116 points or 0.4 percent lower at 26,389, on turnover of HK$143.3 billion.

Xiaomi continued to shine, surging almost 6 percent to close at a new high of HK$29.2 and become the biggest blue-chip winner of the day.

But other tech shares faltered. Heavyweight Tencent sank 2.9 percent after its e-book spin-off China Literature was fined by regulators.

Another company fined, Alibaba, tumbled 2.6 percent. Meituan slid 3.8 percent.

Markets across the border headed north. The Shanghai Composite Index added two-thirds of a percent while the blue-chip CSI300 index gained 0.9 percent. The Shenzhen Composite index put on more than 1 percent.

Elsewhere, the Nikkei in Japan edged up 0.3 percent after an official survey showed business sentiment in December improved at the fastest pace in nearly two decades. Singapore rallied 1.4 percent. Australia gained more than a quarter of a percent.

But the Kospi in Seoul slipped 0.3 percent and Taiwan shed 0.4 percent.