Hong Kong: Stocks end lower as consumer discretionary, tech shares weigh

[HONG KONG] Hong Kong shares closed lower on Wednesday, as consumer discretionary and technology stocks retreated ahead of the reopening of China markets, outweighing gains from banks and energy sectors.

The Hang Seng index ended down 139.16 points or 0.49 per cent at 28,417.98. The Hang Seng China Enterprises index fell 0.41 per cent to 10,721.87.

Hong Kong tech index fell 2.13 per cent to its lowest close in three weeks, tracking a 1.9 per cent drop in the Nasdaq on Tuesday.

Tencent, the most actively traded by turnover, fell 1.9 per cent. Meituan slid 1.6 per cent and Alibaba Group dropped 2.3 per cent.

The sub-index of the Hang Seng tracking energy shares rose 1.1 per cent, while the IT sector dipped 1.85 per cent.

The financial sector gained 0.35 per cent and the property sector climbed 0.23 per cent.

Oil prices rose for a third day on Wednesday after industry data indicated US crude inventories fell much more than expected last week, reinforcing bullish views on fuel demand in the world's largest economy.

Brokers said investors were willing to hunt for bargain ahead of the reopening of China markets on Thursday.

Chinese financial and futures markets are closed from May 1 to 5 for the Labour Day holidays.

The top gainer on the Hang Seng was Hang Seng Bank, which rose 3.42 per cent, while the biggest loser was Haidilao International Holding, which fell 6.07 per cent.

Around the region, MSCI's Asia ex-Japan stock index was weaker by 0.34 per cent.

The top gainers among H-shares were Bank of Communications, up 3.26 per cent, followed by China Merchants Bank, gaining 2.5 per cent and Postal Savings Bank of China, up by 2.35 per cent.

The three biggest H-shares percentage decliners were Haidilao, Hansoh Pharmaceutical Group, which fell 4.6 per cent and Baidu, down by 3.53 per cent.

REUTERS