Hong Kong stocks fall on fresh protests, rising Sino-US tensions

• The Hang Seng index fell 0.4pc, to 23,301.36, while the China Enterprises Index lost 0.3pc, to 9,567.43 points.
• The top gainer on the Hang Seng was CSPC Pharmaceutical Group Ltd, which gained 6.68pc, while the biggest loser was CK Infrastructure Holdings Ltd, which fell 3.26pc.

Hong Kong stocks fell on Wednesday due to fresh anti-government protests and rising tensions between China and the United States.

The Hang Seng index fell 0.4pc, to 23,301.36, while the China Enterprises Index lost 0.3pc, to 9,567.43 points.

Hong Kong riot police fired pepper pellets to disperse protesters in the heart of the global financial centre, where Beijing's proposed national security laws have revived anti-government demonstrations.

US President Donald Trump said on Tuesday that he was preparing a strong response to China's planned national security laws for Hong Kong, adding it would be announced before the end of the week.

Investors are also closely monitoring the pace of China's economic recovery from the depth of the coronavirus crisis. Profits at the country's industrial firms fell at a slower pace in April, but the economy faces persistent pressure as activity and demand remain weak.

The sub-index of the Hang Seng tracking energy shares rose 0.6pc, while the IT sector dipped 1.69pc. the financial sector ended 0.03pc higher and the property sector dipped 0.72pc.

The top gainer on the Hang Seng was CSPC Pharmaceutical Group Ltd, which gained 6.68pc, while the biggest loser was CK Infrastructure Holdings Ltd, which fell 3.26pc.

Around the region, MSCI's Asia ex-Japan stock index was weaker by 0.06pc, while Japan's Nikkei index closed up 0.7pc.