Hong Kong Stocks fall over fears US-China trade war escalation

Capital Market 

Hong Kong share market closed mixed on Wednesday, 22 May 2019, as risk sentiments subdued amid fears of trade tension escalation between the U. S. and grow after reports that the is considering blacklisting Hikvison - a major Chinese firm. At closing bell, the inclined 0.13%, or 35.03 points, to 27,692.27. The Enterprises Index was down 0.28%, or 25.59 points, to 10,605.03.

The is considering limits to Chinese video surveillance firm Hikvision's ability to buy U. S. technology, reported on Tuesday, in a move that deepens worries about trade frictions between the world's two top economies.

That came after the blocked from buying U. S. goods last week. Shares in state-owned plummeted as much as 10% to their lowest since Jan. 4, 2018 after the report.

is ready to resume trade talks with Washington, China's to the Cui Tiankai said, as a top U. S. business lobby in said nearly half its members are seeing non-tariff barrier retaliation in China due to the trade war.

Investors worried that the lack of progress in talks between the and China could signal a protracted trade war. called for a new Long March in a speech at Jiangxi, where began his ascent to power during a series of retreats by the to evade pursuing Nationalist forces, as per reports. Investors took it as a sign that China is preparing for a protracted trade war, with no clear path to a trade deal in the near future.

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First Published: Wed, May 22 2019. 13:41 IST