Tech-Led Losses Drag Hang Seng Ahead of Inflation Data

The Hang Seng slipped 61 points or 0.24% to close at 25,105 on Thursday, reversing earlier gains after a subdued start.

Sentiment weakened as U.S. futures dipped, following FOMC minutes that signaled a hawkish stance amid persistent inflation risks ahead of the Fed’s Jackson Hole symposium.

Chair Powell also cited reluctance to cut interest rates, warning of tariff-driven price pressures this summer.

Meanwhile, Reuters reported China is considering allowing yuan-backed stablecoins to boost global currency adoption, a potential shift in its digital asset stance.

Tech and consumer stocks led losses, with investors cautious ahead of Hong Kong’s July inflation data due later in the day.

China Resources Power tumbled nearly 6% to a 4-1/2-month low on softer H1 earnings and dividend plans, while Baidu fell 2.6% on a revenue miss.

Other notable decliners included Laopu Gold (-4.0%), Meituan (-3.0%), and Xiaomi Corp. (-2.3%).