FX.co ★ Hang Seng Retreats, Still Logs Almost 4% Weekly Advance

The Hang Seng Index declined by 146 points, or 0.5%, closing at 27,141 on Friday. This came as a retreat from a four-year high after three consecutive days of gains, with traders opting to secure profits following a streak of five monthly advances since May. Investor sentiment was dampened by concerns over the U.S. government shutdown, which has interrupted numerous official activities, including today's anticipated jobs report, as markets anticipate extended closures into the following week. Trading activity was also muted, with mainland markets remaining closed until October 8. Losses were widespread across sectors, with significant pressure from technology stocks, notably Kuaishou Technology (-3.8%), Trip.com (-2.0%), and Sunny Optical (-0.8%). Despite this pullback, the city's markets saw a weekly increase of 3.9%, driven by recent record highs on Wall Street and optimistic momentum within Chinese stocks, ahead of a critical plenum scheduled for later this month. Meanwhile, U.S. Treasury Secretary Bessent anticipates a "pretty big breakthrough" during the forthcoming U.S.-China trade discussions, hinting at a possible Trump-Xi meeting in South Korea at the end of October.