Editor’s Note
This article reports on a significant downturn in Chinese and Hong Kong equity markets, driven by sell-offs in precious metals and technology stocks. The information reflects market conditions at the time of writing.
China and Hong Kong stocks tumbled on Thursday as the sell-off in precious metals and technology stocks rippled through related sectors.
At the midday break, the Shanghai Composite index slipped 1% to 4,059.91 points, and the blue-chip CSI300 index was also down 1%.
The renewed selloff in gold and silver triggered heavy losses across precious metals stocks. The CSI SSH Gold Equity Index tumbled 5.4% and the CSI SWS Non-ferrous Metal Index was down 5.6%.
UBS SDIC Silver Futures Fund, the only silver futures fund in mainland China, is on track to hit the 10% daily limit down for the fourth consecutive day.
Tech shares also faltered following a global selloff. The CSI AI Index was down 1.6% and the semiconductor index declined 1.7%.
Solar-related shares also tumbled after multiple companies denied cooperation with Elon Musk. The photovoltaic industry index slid 5.5%, and shares of Jinko Solar were down 5.6%.
In Hong Kong, the benchmark Hang Seng was down 1.3%. Hong Kong’s Hang Seng Materials Index fell more than 6%. Baidu’s Hong Kong-listed shares climbed the most in two weeks on share buyback and dividend optimism.
Around the region, MSCI’s Asia ex-Japan stock index was weaker by 1.8% while Japan’s Nikkei index was down 1%.