19.01.202604:07:31UTC+00Hong Kong Stock Under Pressure After China Data

Hong Kong stocks declined by 267 points, or 1.0%, reaching 26,578 by midday on Monday, marking the third consecutive session of losses as selling pressure affected various sectors. Investor sentiment remained weak following recent data indicating that China's GDP growth in the fourth quarter slowed to its lowest level in three years, signaling persistent weakness in domestic demand despite ongoing consumer subsidy initiatives. The market largely ignored the full-year growth rate of 5%, which aligned with Beijing's official target and remained unchanged from the 2024 rate, instead focusing on increasing geopolitical risks. Meanwhile, U.S. equity futures took a sharp downturn after President Trump threatened to implement escalating tariffs starting February 1st on several European countries, tied to demands for the U.S. to be allowed to purchase Greenland. In China, stocks remained subdued with modest losses continuing from the previous trading session. Among the significant decliners in Hong Kong were Hansoh Pharma (-4.6%), Kuaishou Tech (-2.6%), SMIC (-2.0%), Xiaomi Corp (-1.6%), and AIA Group (-1.3%).