China, Hong Kong stocks fall as Israeli strikes on Iran weigh on risk assets
SHANGHAI: Mainland China and Hong Kong stocks slipped on Friday, mirroring losses across regional markets, as investors rushed toward safe-haven assets in response to Israeli strikes on Iran that escalated tensions in the Middle East.
Israel said it targeted Iran's nuclear facilities, ballistic missile factories and military commanders on Friday at the start of what it warned would be a prolonged operation to prevent Tehran from building an atomic weapon.
At the midday break, the Shanghai Composite index was down 0.72 per cent at 3,378.01 points, while the blue-chip CSI300 index was down 0.76 per cent at 3,862.75 points.
The smaller Shenzhen index dropped 1.27 per cent, the start-up board ChiNext Composite index was weaker by 1.14 per cent and Shanghai's tech-focused STAR50 index dropped nearly 1 per cent.
In Hong Kong, the benchmark Hang Seng Index was down 0.7 per cent at 23,866.86 points, while the Chinese H-share index, the Hang Seng China Enterprises Index fell 0.89 per cent to 8,651.84 points.
However, the risk-off sentiment lifted gold and miners shares, with key performers including Western Region Gold Co , Shandong Gold Mining Co Zhongjin Gold Corp all gaining more than 2 per cent in morning trades.
Another outperformer was oil and gas shares, with a sub-index jumping 2.05 per cent by midday.
Safe-haven demand for the US dollar also pressured the yuan, with the onshore spot price weakening 0.13 per cent to 7.1807 per dollar around midday.
Major Chinese stock indexes appeared poised for a weekly decline, despite the recent trade truce between Washington and Beijing easing the risk of further tariff escalation in the near term.
"While geopolitical tensions (between the United States and China) may have temporarily de-escalated, China's macroeconomic outlook remains fragile," BCA Research said in a note.
As a result, without a decisive policy boost, Chinese equities lack any catalyst to trend higher."
The SSEC is set to fall 0.22 per cent for the week, while the CSI300 index is due to lose 0.29 per cent.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Daily Express
4 hours ago
- Daily Express
Chamber to act as a bridge
Published on: Sunday, June 22, 2025 Published on: Sun, Jun 22, 2025 Text Size: Group photo during the exchange between the Sabah China Chamber of Commerce and President Zhang Huaxia's 14-member Chinese delegation. KOTA KINABALU: The Sabah China Chamber of Commerce is committed to building a bridge for economic, trade, and cultural exchanges between China and Sabah. Guided by the principle of mutual cooperation and win-win development, the Chamber actively promotes the rich heritage of traditional Chinese culture. This was expressed by Datuk Frankie Liew President of the Sabah China Chamber of Commerce, during an exchange session held at the SCCC conference Room with a 14-member delegation from China led by President Zhang Huaxia of the Hui Gong Cultural Committee of China (Zhang Clan Association of China) and the Beijing Hui Gong Cultural Development Centre (Zhang Clan Association of Beijing). Liew said the meeting was more than a cultural exchange — it also symbolised the deep kinship between the two associations and celebrated the grand opening of the new Sabah Zhang Clan Association building. Subscribe or LOG IN to access this article. Support Independant Journalism Subscribe to Daily Express Malaysia Access to DE E-Paper Access to DE E-Paper Exclusive News Exclusive News Invites to special events Invites to special events Giveaways & Rewards 1-Year Most Popular (Income Tax Deductible) Explore Plans Stay up-to-date by following Daily Express's Telegram channel. Daily Express Malaysia
The Star
5 hours ago
- The Star
Japan to provide defence equipment to Thailand, seven other nations
The Japanese national flag waves at the Bank of Japan building in Tokyo, March 18, 2024. - Photo: Reuters file TOKYO: (Bernama-Kyodo) -- Japan plans to supply defence equipment to Thailand, Tonga and six other nations in the current fiscal year as security aid, a government source said Friday (June 20), in bid to ensure safe sea lanes in the Indo-Pacific region where China is evolving its military posture. According to Kyodo news agency the eight countries -- also including East Timor, Indonesia, Malaysia, Papua New Guinea, the Philippines and Sri Lanka -- are expected to be designated as the recipients of Japan's "official security assistance" (OSA) framework, designed for like-minded partners, for fiscal 2025 from April, the source said. The government is considering providing them Japanese-made drones to help in their natural disaster relief and maritime surveillance missions, according to the source. Japan launched the OSA scheme in April 2023 to help developing countries strengthen their defence capabilities amid security concerns such as the Chinese forces' increasing assertiveness at sea and in the air. In the past two fiscal years through 2024, Bangladesh, Djibouti, Fiji, Indonesia, Malaysia, Mongolia and the Philippines were recipients of the assistance programme. In May, Japan gave the Fiji navy a rescue boat and surveillance equipment, in its first delivery under the OSA framework. In its fiscal 2025 initial budget, Japan earmarked 8.1 billion yen (US$56 million) for OSA assistance, up from 2 billion yen in fiscal 2023 and 5 billion yen in fiscal 2024. - Bernama-Kyodo
The Star
7 hours ago
- The Star
Anti-dumping duties on CRC imports from China, Japan to be maintained
KUALA LUMPUR: The government has completed the administrative (sunset) review and reached a final affirmative determination to continue imposing anti-dumping duties on imports of cold rolled coils (CRC) of iron or non-alloy steel over 1,300mm in width from China and Japan. This excludes CRCs used for automotive and transformer finwall applications or tin mill black plate. The Investment, Trade and Industry Ministry (Miti) said the rate of anti-dumping duties for Chinese companies are Angang Steel Company Limited at 4.82%, Maanshan Iron and Steel Co Ltd (4.76%), Shougang Jingtang United Iron & Steel Co Ltd (8.74%) and other producers and exporters (26.38%). 'The rate of anti-dumping duties for Japanese producers and exporters will be imposed at 26.39%. The Customs Department will enforce the collection of the duties on the imports of the subject merchandise for a period of five years, effective from June 23, 2025, to June 22, 2030,' it said yesterday, Bernama reported. The ministry also noted that the government has made a negative final determination to terminate the imposition of anti-dumping duties and the investigations on the imports of the subject merchandise originating or exported from South Korea and Vietnam, effective from June 23.
