FX.co ★ Hong Kong Stock Slips on Rising Oil Prices

The Hang Seng Index fell 256 points, or 1.0%, to 25,600 on Monday, erasing gains from last week’s rally as mounting geopolitical tensions in the Middle East pushed oil prices sharply higher and undermined global risk appetite. Sentiment deteriorated as investors reassessed supply risks stemming from renewed instability along key energy routes, triggering a broad risk-off move across Asian markets.

The benchmark also mirrored softer regional tone, with US futures trading lower amid heightened volatility in global energy markets. Some of the downside was cushioned by strength in energy minerals, producer manufacturing, and process industries. Nonetheless, pronounced weakness in heavyweight technology and brokerage names dragged on the index, reflecting wider risk aversion and persistent inflation concerns.

Among the notable underperformers were Tencent Holdings (-1.3%), Mirxes Holding Company (-20.2%), Xiaomi Corporation (-1.9%), Semiconductor Manufacturing International (-2.2%), and Guotai Junan International (-6.8%).