Technology stocks decline in Hong Kong, Asia markets

SINGAPORE – Hong Kong’s Hang Seng Index fell more than 2% on Friday as technology stocks came under pressure.

The reference index It is down 2.64% in the last hour of trading, while Hang Seng Tech is down 5.41%.

Hang Seng Heavy Weights Ali Baba And the Mituan It fell 7.01% and 7.18%, respectively. Alibaba is on its way to the third consecutive session of losses after the news released earlier this week Several Ant Group executives have resigned as partners in Alibaba.

Shares of Meituan plunged after the company was recalled by a market regulator in Hangzhou due to food safety and price competition.

shares Standard Chartered Initially appeared more than 2% after Bank announces a 19% profit jump for the first half of the year and announced a share buyback of $500 million. The stock later pared its gains, but remained 0.72% higher in afternoon trading.

Real estate shares in Hong Kong fell on Friday.

This indicates that the government will not overspend on infrastructure projects to achieve this goal. Our view is that this is not a bad thing.

Chinese leaders on Thursday Pointing out that Beijing is unlikely to try to boost the economy, He downplayed the country’s GDP target of “about 5.5%”.

“This suggests that the government will not overspend on infrastructure projects to achieve this goal. Our view is that this is not a bad thing,” ING said in a note on Friday.

“This would give the central government more space to solve the problem of incomplete construction projects,” the authors added.

in mainland China, Shanghai boat It was 0.89% lower at 3253.24 and Shenzhen Component It fell 1.3% to 12,266.92.

In addition, Beijing appears to be committed to its Covid-free policy.

“It seems to us that any change to the zero-Covid policy will only happen when the authorities are satisfied that mutations are less virulent and that vaccines/drugs are more effective,” wrote Betty Wang of ANZ Research, China’s chief economist. Zhaopeng Xing, one of the top strategists in China.

The yen and Australian strength

The Japanese Yen It strengthened sharply against the dollar on Friday, after it weakened for months as Japan’s central bank policy diverged from that of the Federal Reserve.

“What we have definitely seen during the second half of this week is a significant rally in the US interest rate markets,” said Andrew Tishhurst, rates analyst at Nomura Australia.

“These interest rate differentials against Japan are narrowing and this is causing the dollar to fall against the yen,” he said. Treasury yields fell after a negative US GDP reading.

The yen The last hand was trading at 132.81 per dollar.

risk sensitive Australian dollar It also strengthened, recently hitting $0.7022.

“The improvement in global risk sentiment over the past 48 hours, and the slight weakness we’ve seen in the US dollar have been positive factors for the Australian,” Tishhurst said.

The US dollar indexwhich measures the US currency against a basket of other currencies, was at 105.625.

Japan Nikkei 225 It struggled for direction and closed partially lower at 27801.64 while Topix fell 0.44% to 1,940.31.

The Ministry of Economy, Trade and Industry said on Friday that the country’s industrial output jumped 8.9% in June compared to the previous month. The print surprised to the upside after falling in May.

Elsewhere, South Korea Cosby The KOSDAQ Index rose 0.67% to 2451.5, and the KOSDAQ Index advanced 0.66% to 803.62.

The S & P / ASX 200 In Australia, it rose 0.81% to close at 6945.2.

Thailand market is closed for a holiday on Friday.

MSCI’s index of Asia Pacific shares expanded outside Japan by 0.4%.

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US moves

Major US indices rose at least 1% each overnight.

The Dow Jones Industrial Average jumped 332.04 points, or 1%, to 32,529.63. The S&P 500 rose 1.2% to 4,072.43, and the Nasdaq Composite added nearly 1.1% to 12,162.59.

US futures rose after technology companies such as Apple and Amazon reported solid earnings.

These moves came despite reports from the US Bureau of Economic Analysis Gross domestic product declined 0.9% at an annualized pace for the April-June quarter, As per prior assessment. Gross domestic product declined by 1.6% in the first quarter of the year.

While this is the second consecutive negative GDP report, official statements about whether the US is in a recession come from the National Bureau of Economic Research. who – which Design can take months or even longer.

American crude It rose by 1.18% to $97.56 a barrel, while Brent crude It was 0.78% higher at $107.98 a barrel.

CNBC’s Evelyn Cheng contributed to this report.