11.09.202502:47:14UTC+00Hong Kong Shares Retreat from 4-Year High

Hong Kong's stock market experienced a decline on Thursday morning, with the index down by 247 points or 0.9% to 25,953, thereby halting a four-day winning streak. This dip occurred as widespread losses reversed momentum from the market's recent climb to a four-year high. The downturn was largely attributed to profit-taking activity following Wednesday’s rally, driven by anticipations of a potential U.S. interest rate reduction possibly occurring next week. Market participants exhibited caution as they awaited the release of U.S. Consumer Price Index (CPI) data expected later in the day. In China, downward pressure on prices persisted, with August consumer prices marking the steepest decrease since February and factory-gate prices declining for the 35th consecutive month. Nonetheless, some losses were mitigated by optimism regarding continued bullish trends in mainland markets, buoyed by appealing valuations and robust capital inflows. Alibaba saw a 1.0% decrease as it prepared to generate approximately USD 3.2 billion through a zero-coupon convertible bond issuance. Among the hardest-hit sectors, pharmaceutical stocks faced significant setbacks, with Hansoh Pharma dropping 8.7%, Sino Biopharma 6.7%, Wuxi Biologics also 6.7%, and Innovent Biologics 4.4%.