Hong Kong Stocks Retreat Amid Global Tech Selloff

2026-07-17 02:02 By Nicole Aliyah 1 min. read

The Hang Seng Index slipped 1.8%, or 446 points, to close at 24,562 on Friday, tracking a broad decline across Asian markets after a selloff in US semiconductor stocks weighed on investor sentiment and reignited concerns over elevated valuations in artificial intelligence-related companies.

The weakness followed overnight losses on Wall Street, where technology shares retreated amid growing skepticism over whether substantial AI-related capital spending will generate sufficient returns to justify current market valuations.

Sentiment toward Hong Kong equities was also weighed by a widening valuation discount to mainland-listed shares, reflecting persistent liquidity pressures and tighter capital outflow controls in China.

Higher oil prices added to inflation concerns, reinforcing expectations that major central banks may remain cautious about easing monetary policy.

Notable laggards included Knowledge Atlas (-28.5%), Tencent (-4.6%), SMIC (-10.0%), Xiaomi (-2.3%), and Meituan (-4.1%).



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