FX.co ★ Hong Kong Stocks Fall Further to Kick Off the Week

On Monday morning, Hong Kong's stock market experienced a decline as the benchmark index fell by 167 points, equivalent to 0.6%, reaching 26,976. This marked the market's second consecutive session of losses, largely driven by declines in the technology and consumer sectors. Trading activity was muted due to the closure of mainland markets for Golden Week, with a further pause expected on Tuesday as Hong Kong observes a local holiday. There were ongoing concerns regarding the protracted U.S. government shutdown, with White House adviser Kevin Hassett cautioning that a lack of agreement between President Trump and congressional Democrats might lead to significant job losses. Some positive news came from a private survey indicating that Hong Kong's private sector expanded for the second month in a row in September, though the growth rate was slower. In Japan, Sanae Takaichi's victory in the ruling party leadership contest increased growth expectations, positively impacting local and other Asian markets. Among the major stock decliners were electric vehicle manufacturers Li Auto (-2.5%), XPeng (-1.5%), and Geely Auto (-0.9%). Additional companies experiencing losses included UBtech Robotics (-3.6%) and Galaxy Entertainment (-2.3%).