Bloomberg News

Hong Kong Stocks Fall, Led by China Developers, on Policy

March 03, 2013

Hong Kong stocks fell, with the benchmark index headed for its biggest drop in a week, as Chinese developers sank after the nation tightened mortgage rules, extending efforts to cool the property market.

China Resources Land Ltd. (1109), a state-owned developer, dropped 5.5 percent. Sands China Ltd. (1928), the Asian unit of Sheldon Adelson’s Las Vegas company, slid 2.2 percent after its parent said for the first time that it probably violated the U.S. Foreign Corrupt Practices Act. Jiangxi Copper Co., China’s biggest supplier of the metal, fell 1.7 percent after metal prices dropped. Chinese banks sank after the nation’s services industries expanded at the slowest pace since September.

The Hang Seng Index (HSI) slid 0.5 percent 22,756.21 as of 9:58 a.m. in Hong Kong, headed for its biggest drop since Feb. 26. About three stocks declined for each that rose in the 50-member gauge. The Hang Seng China Enterprises Index of mainland companies retreated 1.1 percent to 11,218.8.

Hang Seng Index futures fell 0.8 percent to 22,676. The HSI Volatility Index (VHSI) rose 3.4 percent to 15.59, indicating traders expect a swing of 4.5 percent for the equity benchmark in the next 30 days.

To contact the reporter on this story: Kana Nishizawa in Hong Kong at knishizawa5@bloomberg.net.

To contact the editor responsible for this story: Nick Gentle at ngentle2@bloomberg.net


American Apparel's Future
LIMITED-TIME OFFER SUBSCRIBE NOW

(enter your email)
(enter up to 5 email addresses, separated by commas)

Max 250 characters

 
blog comments powered by Disqus