Hong Kong stocks on course for steepest weekly decline in nearly 2 months

The Hang Seng Index rose 0.7 per cent to 19,755.87 as of 10.

16am local time. For the week, it is down 1.6 per cent.



The Hang Seng Tech Index gained 1.2 per cent. On the mainland, the CSI 300 Index slid 0.

2 per cent and the Shanghai Composite Index retreated 0.4 per cent. Risk-averse investors ratcheted up buying of fixed-income products, reflecting their scepticism about a strong Chinese growth recovery.

The yield on China’s benchmark 10-year government bond breached 1.6 per cent for the first time in history on Friday. Hong Kong and Chinese stocks have had a shaky start to the new year, as concerns about China’s growth and souring sentiment on US equities caused sell-offs.

The Hang Seng Index slumped 2.2 per cent on Thursday in its worst start to a year since 2019, while the CSI 300 Index closed almost 3 per cent lower, marking the biggest decline on the first trading day of a year since 2016. Two companies made their trading debuts.

Baotou Tianhe Magnetics Technology, which makes magnet materials, jumped 323 per cent from its offer price to 52 yuan in Shanghai and Huangshan Googe, a maker of electronic components, soared 220 per cent to 85.20 yuan in Shenzhen..