Nasdaq Today – Bargain Hunting May Boost Hong Kong Shares
(RTTNews) – The Hong Kong stock market has moved lower in consecutive trading days, plummeting nearly 950 points or 2.6 percent along the way. The Hang Seng Index now sits just above the 28,350-point plateau and it’s predicted to open in the green on Tuesday.
The global forecast for the Asian markets is mixed to higher, with bargain hunting and support from crude oil prices capped by a renewed spike in coronavirus cases in Asia. The European markets were up and the U.S. bourses were mixed and the Asian markets figure to split the difference.
The Hang Seng finished sharply lower on Monday following losses from the financials, properties, casinos and technology stocks.
For the day, the index plummeted 367.34 points or 1.28 percent to finish at 28,357.54 after trading between 28,256.03 and 28,684.83.
Among the actives, AAC Technologies surrendered 1.16 percent, while AIA Group plunged 2.58 percent, Alibaba Group and CK Infrastructure both slid 0.53 percent, Alibaba Health Info tanked 2.53 percent, ANTA Sports lost 0.79 percent, China Life Insurance tumbled 2.02 percent, China Mengniu Dairy plummeted 3.49 percent, China Petroleum and Chemical (Sinopec) jumped 1.29 percent, China Resources Land retreated 1.23 percent, CNOOC dropped 0.97 percent, CSPC Pharmaceutical sank 1.04 percent, Galaxy Entertainment eased 0.15 percent, Henderson Land shed 0.87 percent, Hong Kong & China Gas weakened 0.32 percent, Industrial and Commercial Bank of China and WuXi Biologics both declined 1.19 percent, Longfor added 0.21 percent, Meituan skidded 1.61 percent, New World Development and Xiaomi Corporation both fell 0.61 percent, Sands China dipped 0.41 percent, Sun Hung Kai Properties slipped 0.34 percent, Techtronic Industries and Power Assets both were down 0.21 percent and CITIC, Hang Lung Properties and Wharf Real Estate were unchanged.
The lead from Wall Street is mixed as stocks opened higher on Monday, although the NASDAQ soon fell into negative territory and could not recover.
The Dow climbed 238.38 points or 0.70 percent to finish at 34,113.23, while the NASDAQ shed 67.56 points or 0.48 percent to end at 13,895.12 and the S&P 500 advanced 11.49 points or 0.27 percent to close at 4,192.66.
Reopening plans sparked notable strength on the day after New York Governor Andrew Cuomo announced capacity limits for most businesses in New York, New Jersey and Connecticut will be lifted beginning May 19.
Traders remain optimistic about the economic outlook, but analysts have raised some concerns about valuations and a potential correction.
In economic news, the Institute for Supply Management reported an unexpected slowdown in the pace of growth in U.S. manufacturing activity in April.
Crude oil futures closed higher on Monday amid hopes energy demand will increase in the U.S. following the reopening of businesses ahead of the summer, while a weak dollar also contributed to oil’s advance. West Texas Intermediate Crude oil futures for June ended up by $0.91 or 1.4 percent at $64.49 a barrel.
Closer to home, Hong Kong will see March numbers for retail sales later today; in February, sales surged 31.7 percent on year.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.