The Hang Seng Index dropped 1.62 percent, or 429.56 points, to 26,094.79.

The benchmark Shanghai Composite Index sank 1.53 percent, or 40.31 points, to 2,593.74 and the Shenzhen Composite Index, which tracks stocks on China's second exchange, fell 2.46 percent, or 33.50 points, to 1,327.42.