HSI Joins Asian Retreat As Jitters Grip Markets

Hong Kong stocks tumbled on Thursday in line with big losses across Asia and following another rout on Wall Street, as traders fret over a fresh spike in virus infections and the lack of movement in US stimulus talks.

The Hang Seng Index fell 1.8 percent, to 23,311.

On the mainland, the Shanghai Composite Index dropped 1.7 percent, to 3,223 while the Shenzhen Composite Index sank 2.5 percent, to 2,148.

Most other Asian markets tumbled as investors were bombarded by a perfect storm of problems including new lockdowns, a slowing economic recovery, and US election uncertainty.

Tokyo, Singapore, Bangkok and Jakarta all down more than 1 percent, while Mumbai and Taipei shed more than 2 percent.

Seoul also slumped more than 2 percent after South Korea said forces from the North had shot a South Korean official and burned him after he disappeared off a patrol vessel and ended up in Pyongyang's waters.

Sydney, Manila and Wellington were also down.

"Markets are digesting and grappling with this idea that the growth expectations that investors have might not materialise," said Lauren Goodwin, at New York Life Investments.

"As the fiscal impulse in the US starts to wane, some of these expectations for a slow and steady recovery are shaken." (AFP)