FX.co ★ Hong Kong Stocks Slip

Hong Kong's stock market witnessed a downturn on Wednesday, with shares dropping by 197 points, or 0.8%, to settle at 23,953 by midday. This decline reversed the gains accrued in the previous session, fueled by the announcement from U.S. President Donald Trump of a potential 50% tariff on copper, alongside forthcoming tariffs targeting semiconductors and pharmaceuticals. Concurrently in China, consumer prices saw a slight uptick in June following a four-month decline period, signaling persistent deflationary pressures. In contrast, producer prices experienced their most significant decrease in nearly two years due to heightened competition, lackluster demand, and the intensifying U.S. tariff impositions. The downturn was nearly comprehensive, with notable declines in the property, technology, and consumer sectors. Nonetheless, the slide was somewhat mitigated by Beijing's recent initiatives aimed at addressing price competition among domestic enterprises.