Hong Kong Markets slides on US banks contagion fears

Hong Kong share market finished session lower on Tuesday, 14 March 2023, on tracking negative cues from Wall Street overnight, with financial related stocks leading losses as fear of a U.S. banking crisis following the collapse of two regional U.S. banks.

Markets remained nervous about contagion fear following the collapse of Silicon Valley Bank last week and the failure of New York's Signature Bank over the weekend even after the U.S. government took steps to shore up systemic confidence.

At closing bell, the benchmark Hang Seng Index dropped 448.01 points, or 2.27%, to 19,247.96. The Hang Seng China Enterprises Index declined 151.23 points, or 2.29%, to 6,439.

Among blue chips, HSBC sank 4.7% to HK$53.65, after the bank announced on Monday that it would swoop in to buy SVB's UK subsidiary for a nominal 1. Insurer AIA Group plunged 4.4% to HK$80.75. Alibaba Group Holding dropped 3.9% to HK$80, Baidu fell 3.7% to HK$129 while Tencent slid 0.9% to HK$341.60.

Developer Country Garden plunged 4.3% to HK$2.01 following a profit warning on Monday, while peer Longfor Group lost 5.2% to HK$20.10.

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