The Hang Seng tech index ended 1.9% lower, with Chinese internet healthcare provider JD Health International Inc losing 6.3%.(Shutterstock. Representative image)
The Hang Seng tech index ended 1.9% lower, with Chinese internet healthcare provider JD Health International Inc losing 6.3%.(Shutterstock. Representative image)

Hong Kong stocks close lower as materials weaken, cryptocurrency stocks dive

The Hang Seng index fell 0.2%, to 28,412.26, while the China Enterprises Index lost 0.6%, to 10,641.40 points.
Reuters | | Posted by Harshit Sabarwal
PUBLISHED ON MAY 24, 2021 02:23 PM IST

Hong Kong stocks closed lower on Monday, as materials firms slid after China stepped up intervention in the commodities market, even as cryptocurrency-related stocks dived after Beijing's latest crackdown.

The Hang Seng index fell 0.2%, to 28,412.26, while the China Enterprises Index lost 0.6%, to 10,641.40 points.

Leading the declines, the Hang Seng materials index dropped 2%, with Chalco and Zijin Mining Group Co Ltd down 5.1% and 3.3%, respectively.

China's market regulators warned industrial metal companies to maintain "normal market order" during talks on the significant gains in metals prices this year, the National Development and Reform Commission (NDRC) said on Monday.

Investors tread carefully as they await US personal consumption and inflation figures this week.

The diary has a crowd of Fed speakers this week, including the influential Fed Board Governor Lael Brainard, and markets will be keen to hear if they stick to the script on being patient with policy.

Digital currency and block-chain related stocks also weakened, after China vowed to crack down on bitcoin mining and trading activities.

HK-listed Okg Technology Holdings Ltd, an affiliate of crypto exchange OK Coin, Huobi Tech, an affiliate of crypto exchange operator Huobi and BC Technology Group tumbled between 5% and 22%.

Cryptocurrency mining operators, including Huobi Mall and BTC.TOP, are suspending their China operations after Beijing's move.

The Hang Seng tech index ended 1.9% lower, with Chinese internet healthcare provider JD Health International Inc losing 6.3%.

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