SHANGHAI: China and Hong Kong stocks closed down on Friday, but ended the week with modest gains, as investors largely brushed off concerns over a global technology sell-off potentially impacting Chinese markets.
China’s blue-chip CSI300 Index and the Shanghai Composite Index both finished 0.3 percent lower, while the Hong Kong benchmark Hang Seng was down 0.9 percent. The CSI300 Index and the Hang Seng rose around 1percent each this week.
In contrast, tech-heavy stock markets in the US and other parts of Asia were bracing for their heaviest weekly falls in seven months, as investors have turned uneasy about how far the rally in artificial intelligence stocks has run.
Foreign institutional investors added further positions in Chinese equities in the third quarter with their underweight reduced from -1.6 percent to -1.3percent, UBS analysts said in a note.
The top 40 global investors’ Chinese equity holdings rose to the highest level since the first quarter of 2023, they said. China’s tech-focused STAR50 Index was roughly flat this week.
The Trump administration said on Thursday it would pursue negotiations with China over its dominance of ship building and ocean logistics as it formalized plans for a one-year pause on US port fees on China-linked vessels as part of a broader deal to reduce trade tensions.
Onshore semiconductor shares were down 1.3 percent after media reported the White House has told others in the federal government it won’t allow Nvidia to sell its latest scaled-down AI chips to China. Tech majors traded in Hong Kong fell 1.8 percent, after a near 3percent rally the previous day.
Meanwhile, China’s exports unexpectedly slumped in October.
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