The Hang Seng Index slipped 0.4%, or 110 points, to close at 25,420 on Friday, as investors turned more cautious amid escalating geopolitical risks and ongoing weakness in financial stocks. Asian markets broadly retreated after renewed tensions involving Iran pushed oil prices higher, stoking worries that persistently elevated energy costs could keep inflation sticky and delay anticipated interest rate cuts.
In Hong Kong, insurers and banks remained under pressure following concerns about China’s tighter enforcement of tax rules on offshore insurance policies held by mainland residents, tempering expectations for cross-border wealth management flows.
Losses on the broader market were partly offset by strength in selected technology names. AI firm MiniMax jumped 6.5% after being included in the Hong Kong Stock Connect program, a move that lifted optimism over increased mainland investor participation. Other notable gainers included Tencent, up 0.7%, Z.AI Co., rising 5.2%, Kingboard Laminates, which advanced 5.6%, and Wuci Biologics, up 3.0%.
