The Hang Seng Index slipped about 0.6%, or 160 points, to 25,289 on Tuesday, paring part of the strong gains from previous sessions as investors turned cautious amid renewed geopolitical tensions and a rebound in oil prices. Brent crude rose above $91 per barrel after the expiry of the US-Iran ceasefire, heightening concerns over rising energy costs. Sentiment was further pressured by a mixed overnight performance on Wall Street.
Xiaomi remained in the spotlight ahead of its quarterly earnings, with markets watching to see whether robust results—if delivered—could extend the company’s best quarterly share-price rally in more than a year, contingent on management reassuring investors that increasing material costs are being brought under control.
Overall market mood was also dampened by weaker-than-expected July economic data from China released a day earlier. Prominent decliners included Tencent (-0.9%), MiniMax (-6.4%), Lenovo (-1.2%), AIA (-2.0%), and Kingboard Laminates (-3.2%).
