April 16, 2025 at 05:22 am EDT
(MT Newswires) -- Hong Kong stocks declined on Wednesday as investors dumped tech shares amid new curbs on Nvidia's and AMD's chip shipments to China.
The Hang Seng Index fell 1.9%, or 409.29 points, to finish at 21,056.98. The Hang Seng China Enterprises Index lost 2.6%, or 203.87 points, to end at 7,779.01.
Nvidia said it expects to incur $5.5 billion in charges after Washington limited exports of its H20 artificial intelligence chip to China, Hong Kong, and Macau.
In an overnight filing, the company stated that its H20 AI chip, tailored for the Chinese market, will now require a special license for future sales in China for the "indefinite future."
A US Commerce Department spokesperson confirmed to Reuters that new export licensing rules are being imposed on chips such as Nvidia's H20 and AMD's MI308 and their equivalent products.
The news sent tech shares in Hong Kong falling. Meituan led the decliners with an 8% drop, followed by Lenovowith a nearly 5% slide. Alibaba and Xiaomi both retreated 4%.
Compounding the downbeat mood was the continued drop in China's new home prices. From a year earlier, home prices in March fell 4.5%, easing from the 4.8% slide in February.
The developments overshadowed China's better-than-expected economic growth in the first quarter of 2025. China's gross domestic product expanded 5.4% year over year in the January to March period, beating estimates of a 5.1% rise in a Reuters poll of economists.
Sumber : MT Newswires
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