Hang Seng Index Slides on Fed and US Tariff Jitters – Weekly Recap

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Hang Seng Index – Daily Chart – 16.11.24

The Hang Seng Index fell 6.28% to 19,426 in the week ended November 15. Falling bets on a Fed rate cut in December added to the losses as investors assessed the latest economic data from China and Trump’s tariff threats. Real estate and technology stocks contributed to the weekly losses.

The Hang Seng Mainland Properties Index fell 10.85%, while the Hang Seng Tech Index (HSTECH) fell 7.29%.

Technology giants Alibaba (9988) and Baidu (9988) fell 7.53% and 7.23% respectively, while Tencent (0700) fell 5.21%. Better-than-expected profits limited Tencent’s losses.

On the continent, fears of US tariffs and economic uncertainty left indexes in negative territory. The CSI 300 fell 3.29%, while the Shanghai Composite fell 3.52%.

Commodity markets: iron ore and gold

The commodity markets suffered heavy losses. The iron ore market fell 3.26% this week on concerns about Chinese demand as US tariffs loom. Meanwhile, gold prices fell 4.51% on declining expectations for a Fed rate cut in December.

ASX 200 struggles under pressure from mining and gold stocks

The ASX 200 fell 0.12% in the week ending November 15, after rising 2.17% the week before. Gold and mining stocks left the Index in negative territory.

Mining giants BHP Group Ltd. (BHP) and Rio Tinto Ltd. (RIO) fell by 7.67% and 7.75% respectively due to falling iron ore spot prices. Gold shares Northern Star Resources Ltd. (NST) ended the week with a loss of 5.60%.

Technology and banking stocks, however, limited losses. The S&P/ASX All Technology Index rose 3.89%, with Commercial Bank of Australia leading banking shares higher on a steady loan portfolio.

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Nikkei index falls amid risk aversion

In the week ending November 15, the Nikkei index fell 2.17%, partially reversing its 3.80% gain from the previous week. A stronger USD/JPY, which rose 1.12% to 154.281, failed to boost sentiment as investors considered the Fed’s rate path.

Tokyo Electron (8035) fell 4.09%, while SoftBank Group Corp. (9984) the week fell by 4.78%.

Outlook

Key events, including interest rate decisions from the PBoC and RBA, US data and stimulus talks from Beijing, are likely to influence market risk sentiment. Follow our latest updates to stay informed and manage your risks effectively.

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