Profit-taking Pushes Hong Kong Stocks Into The Red

Hong Kong stocks ended on Monday with losses as optimism over the corporate earnings season and China-US trade talks was overshadowed by a late sell-off.

The Hang Seng Index slipped 0.3 percent, to close at 29,810.

On the mainland, the Shanghai Composite Index lost 0.3 percent, to 3,177 and the Shenzhen Composite Index shed 0.8 percent, to 1,723.

Other Asian markets ended mixed, though investors remained upbeat thanks to a healthy start to the US earnings season.

Tokyo added 1.4 percent, Singapore and Sydney were flat, while Wellington added 0.8 percent. Seoul, Mumbai, Taipei and Jakarta were also higher.

New York's three main indexes provided a positive lead after Wall Street titan JP Morgan recorded a pick-up in profits, suggesting the economy remains in rude health and fuelling optimism for upcoming corporate reports.

"The environment of easier financial conditions is beginning to have an impact on the broader economy," Binay Chandgothia at Principal Global Investors told Bloomberg TV.

"If that is the case and growth does pick up, you'll see an uptick in analyst expectations and earnings as well, which should help continue the rally." (AFP)