20 September 2019

Tencent tumbles again just ahead of results

The falls continued Monday for Hong Kong’s benchmark Hang Seng Index (HSI) as weaker overseas sentiment put a downer on stocks. After tumbling nearly 5 percent last week, the HSI gave up another 65 points, or 0.3 percent, to end at 21,473.

But, mainland stock markets fared better. The Hang Seng China Enterprises Index, the main gauge for H shares, added 0.37 percent to finish at 9,333. The Shanghai Composite Index also gained 0.96 percent to close at 2,023 points.

Tech behemoth Tencent (00700.HK) shed 10 percent last week and gave up more than 3 percent Monday, two days before it was due to release its latest report card.

Meanwhile, rival Alibaba’s announcement that it will go public in the United States burst prospects for a back-door listing in Hong Kong, sending Citic 21CN (00241.HK) down 9.6 percent and ChinaVision Media Group (01060.HK) more than 10 percent lower for the day.

Hotel and casino operator Galaxy Entertainment (00027.HK) rose 4.4 percent for the day to be the best-performing blue chip. Gaming firm Sands China (01928.HK) also rose a little less than 2 percent.

The solar sector beat the market as well. China Singyes Solar Technologies (00750.HK) gained 8.5 percent, Xinyi Solar (00968.HK) rose 6.4 percent and Comtec Solar Systems (00712.HK) ended 4.2 percent higher.

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