FX.co ★ Hong Kong Shares Under Pressure in Morning Deals

Hong Kong's stock market saw a decrease of 267 points, or 1.1%, settling at 23,713 during early trading on Wednesday. This marks the second consecutive day of declines, affecting a broad range of sectors. The ongoing rise in tensions between Israel and Iran has negatively impacted market sentiment, especially amid reports that U.S. President Trump may be contemplating military action against Tehran. Additionally, traders showed caution ahead of the Federal Reserve's upcoming decision on interest rates. While the central bank is anticipated to maintain rates for the fourth consecutive meeting, concerns over geopolitical unrest and escalating oil prices could temper expectations for any immediate policy easing. On a local level, Hong Kong's seasonally adjusted unemployment rate climbed to a two-year high of 3.5% for the three months ending in May, driven by factors such as changing consumption patterns.