2026.03.1908:15:11UTC+00Hang Seng Under Pressure at Finish

The Hang Seng Index dropped 525 points, or 2.0%, to close at 25,500 on Thursday, snapping a three-day winning streak as mounting concerns over a protracted conflict in the Middle East heightened stagflation fears. Ongoing strikes targeting energy infrastructure kept crude oil prices elevated, unsettling global risk sentiment.

At the same time, Beijing’s tighter oversight of Chinese companies incorporated offshore and seeking Hong Kong listings clouded the city’s IPO pipeline. Mainland equities also retreated, with major indices slipping to their lowest levels since early January.

Losses in Hong Kong were partly tempered by expectations that the People’s Bank of China will keep key lending rates at record lows for a 10th consecutive month, with the March loan prime rate fixing due on Friday.

All major sectors in Hong Kong finished in negative territory, led by property, financials, and technology shares. Among the notable decliners were Knowledge Atlas (-12.5%), Tencent (-7.0%), and China Hongqiao Group (-6.3%).

Gold miners also sold off sharply after bullion prices fell below USD 5,000 per ounce for the first time in a month. Zijin Gold International (-9.5%), Zhaojin Mining (-8.6%), and Laopu Gold (-5.5%) were among the hardest hit.