FX.co ★ Hong Kong Shares Fall as Trump Rekindles Tariff Fears

Hong Kong stocks experienced a downturn on Thursday, dropping 84 points or 0.4% to reach 24,281 in early trading. This decline interrupted a positive streak and reversed the market's climb to a nearly three-month high the previous day. The dip in investor confidence was largely attributed to a significant drop in U.S. futures, following President Trump's announcement of impending unilateral tariff adjustments, which are expected within two weeks, thus intensifying trade tensions once more. Most sectors witnessed a decrease as some investors opted to secure profits amidst resurfacing fears regarding escalating tensions in the Middle East. However, losses were somewhat mitigated by a recent U.S.-China trade deal, which eliminated Chinese export restrictions on rare-earth materials and allowed Chinese students access to U.S. universities. Horizon Robotics saw a significant decline of nearly 4% after disclosing its plan to issue 681 million new shares to a major shareholder. JD.com also trended downward despite news of its market expansion into Saudi Arabia. Additional prominent decliners included Kuaishou Tech, down 4.2%, China Resources Land, down 3.0%, Zhejiang Leapmotor Tech, down 2.0%, and Techtronic Industries, down 1.7%.