Hong Kong Market falls for sixth straight session

The Hong Kong share market closed down for sixth day in row on Monday on Friday, 20 September 2019, as risk sentiments were downbeat amid U.S.-China trade uncertainties and lingering concerns that anti-government protests could add pressure on the city island's economy. At closing bell, the Hang Seng Index declined 0.81%, or 213.27 points, to 26,222.40. The Hang Seng China Enterprises Index sank 0.85%, or 87.73 points, to 10,287.92.

Protests over the weekend piled pressure on shares listed on the island. Hong Kong police fired tear gas on Sunday to break up pro-democracy protesters who trashed fittings at a railway station and shopping mall, the latest confrontation in more than three months of often violent unrest.

Over the weekend, the U.S. Trade Representative's office issued a brief statement characterizing the two days of talks with China as "productive." It added that a principal-level trade meeting in Washington would take place in October, as previously planned. China's Commerce Ministry, in a brief statement, described the talks as "constructive", and said they had also had a good discussion on "detailed arrangements" for the high-level talks in October. Additionally, the United States removed tariffs from more than 400 Chinese products in response to requests from U.S. companies.

Despite the improved tone, markets still remain unconvinced about the possibility of deal soon after Chinese officials unexpectedly cancelled a visit to farms in Montana and Nebraska. Earlier in the day, President Donald Trump had said the United States was looking for a "complete deal" with China and not a partial one. Lack of progress in Sino-U.S. trade talks prompted investors to sell shares.

Blue chips were mostly lower. HSBC (00005) fell 0.8% to HK$59.5. HKEX (00388) sank 1.9% to HK$225.8 as it has not given up its merger plan with the LSEG. Tencent (00700) retreated 0.5% to HK$335.8. China Mobile (00941) was steady at HK$64.6. AIA (01299) dipped0.7% to 4.9.

Shares of property plays were mostly lower on prolonged protests. Henderson Land (00012) shed 1.7% to HK$37.5. Wharf REIC (01997) slipped 1.9% to HK$42.25. New World Development (00017) declined by 0.6% to HK$10.02. CK Asset (01113) retreated 0.6% to HK$54.1. Sun Hung Kai Properties (00016) weakened by 0.8% to HK$113.6. But Sino Land (00083) rose 0.9% to HK$11.66.

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