The Hang Seng Index opened Tuesday down 1.1%, or 260 points, at 25,307, pressured by renewed US–Iran tensions that lifted oil prices and intensified worries about inflation and additional monetary tightening. Brent crude extended its gains after the latest flare-up raised the likelihood of prolonged disruptions to energy shipments through the Strait of Hormuz.
The sell-off came despite signs of improving Chinese manufacturing activity. China’s RatingDog Manufacturing PMI rose to 51.5 in August from 50.9 in July, indicating a stronger expansion in private-sector factory output.
In corporate news, Shein made its long-awaited debut in Hong Kong, but the stock slumped more than 9% shortly after the open. The company raised HK$13.6 billion in its IPO at HK$48.56 per share, giving it a valuation of about US$26.5 billion.
Renewed weakness in China’s property sector further weighed on market sentiment. Among notable decliners were Tencent (-2.1%), AIA (-0.2%), Kingboard Laminates (-2.9%), and Meituan (-1.1%).
