Hong Kong Stocks Fall on Middle East Risks

The Hang Seng Index fell 0.4%, or 100 points, to 25,029 on Wednesday, retreating after ending flat in the previous session as renewed geopolitical tensions dampened investor sentiment, outweighing support from gains in semiconductor stocks that tracked a strong rally on Wall Street. Oil prices edged higher after US forces continued strikes on Iranian military targets for an 11th consecutive night. Notable laggards included Tencent (-3.6%), Z.Ai Co (-3.0%), Xiaomi (-3.9%), Meituan (-3.5%), and AIA (-1.2%). Investors also monitored Zhongji Innolight’s planned Hong Kong IPO, which aims to raise up to HK$55.05 billion in what could become the city’s largest listing this year, while reports said Moonshot AI plans to begin talks in August on a final funding round ahead of a Hong Kong listing, targeting a valuation of up to $50 billion amid strong demand for its latest AI model.



