Hong Kong: Stocks slide most in 3 weeks with tech firms leading the loss

[HONG KONG] Hong Kong stocks fell the most in more than three weeks, with tech shares leading the losses.

The benchmark Hang Seng Index dropped 2.1 per cent to 24,158.54 at the close. Alibaba Group Holding slid 4.3 per cent, the most since July, after Reuters reported the US is seeking to blacklist its affiliate Ant Group. Tencent Holdings and Xiaomi fell at least 3.4 per cent, among the worst performances.

The losses come after firms tracked by the Hang Seng Tech Index jumped 66 per cent this year through Wednesday. The industry has been a focus of tensions between China and the US, with the Trump administration seeking to curtail the influence of Chinese apps such as Tencent's WeChat super app.

Thursday's drop came despite a rare bit of good news for the city in its battle against the virus pandemic. Hong Kong and Singapore agreed to create a travel bubble that exempts people from the cities from quarantine. Singaporean Transport Minister Ong Ye Kung said he hopes the bubble will start in "weeks." That news sent shares of Cathay Pacific Airways up 6.1 per cent, the most since Aug 25.

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