[ad_1]
The Hang Seng Index extended its losing streak to a fifth week, plummeting 8.47%. Worsening trade tensions dampened the appetite for Hong Kong and mainland-listed stocks, especially in the tech and auto sectors.
- The Hang Seng Technologies Index plunged 7.77% as tech stocks bore the brunt of the market rout.
- Tech giants Alibaba (09988.HK) and Baidu (09888.HK) posted weekly losses of 16.6% and 9.91%, respectively.
- Automakers also struggled, with Li Auto (02015.HK) and NIO Inc. (09866.HK) sliding 7.54% and 9.39%, respectively. EV manufacturers faced selling pressure, even though Beijing stated that China does not export EVs to the US. However, US pressure on trade partners to target China with tariffs added to the sector woes.
Meanwhile, Mainland China’s equity markets saw relatively modest losses. The CSI 300 dropped 2.87%, while the Shanghai Composite Index fell 3.11%. Hopes for further stimulus from Beijing and trade negotiations cushioned the downside.
Brian Tycangco of Stansberry Research noted that Beijing’s tariffs remain below the US level and that its restraint may offer a window for renewed negotiations.
For more analysis on the Hang Seng Index and global market trends, click here.
Commodities Diverge on Tariff News
- Gold soared to a record high of $3,245 before closing the week up 6.61% at $3,238. The US bond market and dollar sell-off drove demand for safe-haven assets as the US-China trade war heated up.
- WTI crude oil prices fell 1.84% to $60.78, while iron ore spot prices slid 5.36% amid fears of weakening global demand.
ASX 200 Edges Lower Despite Tech Resilience
The ASX 200 slipped 0.28% in the week ending April 11. Trump’s tariff flip-flop prevented heavier losses, with the Index recovering from a low of 7,160 to close at 7,647.
- Mining sector: BHP Group Ltd. (BHP) and Rio Tinto Ltd. (RIO) slid 3.80% and 3.03%, respectively.
- Energy sector: Woodside Energy Group Ltd. (WDS) dropped 3.92%.
Meanwhile, tech and gold stocks limited the losses.
- Tech Sector: The S&P/ASX All Technology Index rallied 4.89%, tracking the Nasdaq higher.
- Northern Star Resources Ltd. (NST) soared 13.53% as risk aversion drove demand for gold.
Nikkei Rises on Tariff Relief for Japan
The Nikkei Index gained 1.30% in the week, bucking the broader Asian market trend. Trump cut levies on Japanese goods from 24% to 10%, boosting demand for Nikkei 225-listed stocks. However, a stronger Japanese Yen capped gains as USD/JPY dropped 2.36% to 143.437 in the week.
- Auto Sector: Nissan Motor Corp. (7201) dropped 6.76%, while Suzuki Motor Corp. (7269) tumbled 7.84%.
- Sony Corp. (6758) ended the week down 2.36%.
Looking Ahead: Key Events on the Radar
Investors should closely monitor Beijing’s stimulus announcements, trade developments, economic data, and central bank commentary. Key stats include China’s GDP, US retail sales, and Fed chatter.
In a volatile environment, traders should remain vigilant and monitor geopolitical and policy shifts closely. Get in-depth insights on Hang Seng movers here.
[ad_2]
