Hong Kong equities fell 172 points, or 0.7%, to 26,392 in early Tuesday trade, extending losses to a fourth straight session amid a sharp drop in U.S. futures after President Trump threatened to impose new tariffs on European countries opposing his proposal to buy Greenland. Meanwhile, mainland shares slipped after Monday’s data showed the economy lost momentum in Q4 2025, growing by 4.5% yoy and marking the slowest pace in three years, reflecting persistently weak domestic demand despite ongoing policy support from Beijing. Still, losses were partly capped after the People’s Bank of China kept its key lending rates at record lows for an eighth consecutive month, following earlier reductions in relending and rediscount facility rates. Tech and consumer stocks led the decline, although modest gains in property shares helped limit further downside. Among early laggards were China Hongqiao Group (-3.7%), Zhaojin Mining (-2.9%), Techtronic Industries (-2.4%), and SMIC (-1.9%).
