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China stocks fall after hawkish Fed minutes; property, consumption drop
Thursday, January 06, 2022       13:45 WIB

January 6, 2022 - 11:56 AM Updated
SHANGHAI,(Reuters) - China stocks fell on Thursday, tracking a global slump after Federal Reserve meeting minutes pointed to a faster-than-expected rise in U.S. interest rates, led by losses in real estate developers and consumer staples.
The CSI300 index (.CSI300) fell 0.9%, to 4,826.06 points at the end of the morning session, while the Shanghai Composite Index (. SSEC ) lost 0.2%, to 3,589.50 points.
The Hang Seng index (.HSI) dropped 0.4%, to 22,824.60 points. The Hong Kong China Enterprises Index (. HSCE ) lost 0.4%, to 7,984.28.
A "very tight" job market and unabated inflation might require the Federal Reserve to raise interest rates sooner than expected and begin reducing its overall asset holdings as a second brake on the economy, U.S. central bank policymakers said in their meeting last month. read more
The more hawkish than expected views of U.S. central bank officials pushed U.S. Treasury yields higher, potentially draining liquidity from emerging markets.
Refinitiv data showed outflows of more than 3.2 billion yuan through the Northbound legs of the Stock Connect programme (.NQUOTA.ZK), (.NQUOTA.SH), showing overseas investors were net sellers of A-shares on Thursday.
Activity in China's services sector expanded at a faster pace in December amid higher demand and easing inflationary pressure but continuing small-scale COVID-19 outbreaks weighed on the outlook, a private sector survey showed. read more
China will ensure stable economic growth in the first quarter of 2022, the government will implement greater tax and fee cuts for businesses and would provide targeted support for COVID-affected sectors, Premier Li Keqiang said on Wednesday.
Real estate developers (.CSI000952), consumer staples (.CSICS), transport stocks (.CSI000957) and media firms (.CSI399971) went down between 1.7% and 2.2%.
Construction engineering shares (.CSI399995) surged 3.7%, while non ferrous metal (.CSI000811) gained 1.2%.
In Hong Kong, the Hang Seng Tech Index (.HSTECH) lost 0.6%, while Alibaba Group (9988.HK) and Meituan (3690.HK) rebounded from previous session's slump and rose 3.6% and 0.5% respectively.
Healthcare stocks (.HSCIH) dropped 2.6%, with WuXi Biologics (2269.HK) down 4.2% to become the second biggest intraday decliner on the Hang Seng Index.
The utilities subindex (.HSCIU) declined 2.7%.
Reporting by Shanghai Newsroom

Sumber : Reuters

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