The Hang Seng Index dropped 0.5 per cent to 24,160.22 at 11am local time on Monday, trimming this month’s advance to 3.8 per cent. The Hang Seng Tech Index added 0.1 per cent. On the mainland, the Shanghai Composite Index gained 0.2 per cent while the CSI 300 Index was little changed.
WeChat operator Tencent fell 1.3 per cent to HK$506.50, while e-commerce leader Alibaba Group Holding declined 1.1 per cent to HK$110.90. Electric vehicle maker BYD dropped 0.3 per cent to HK$123.80, while peer Li Auto slipped 1.9 per cent to HK$108.50.
Limiting losses, China’s top chipmaker SMIC jumped 4.6 per cent to HK$46.90, while online-game provider NetEase advanced 2.7 per cent to HK$213.40, and short-video platform operator Kuaishou Technology climbed 2.3 per cent to HK$64.25.
China’s official purchasing managers’ index rose to 49.7 in June from 49.5 in May, the statistics bureau said in a report on Monday, remaining in contraction territory for a third straight month. A sub-index tracking new orders rose to 50.2 from 49.8, it added. A reading below 50 indicates a contraction in activity.
The report showed sentiment among manufacturers since Chinese and US officials agreed to a truce early last month in Geneva to lower tariffs and ease export curbs. Subsequent talks in London pushed China’s deadline to mid-August. Other US trading partners are working to strike a deal over the next nine days.
