Tensions between the U.S. and China started a long time ago. The U.S. made the decision to impose restrictions on exports on the Chinese chipmaker SMIC due to risks of military use. Interestingly, Hong Kong-listed shares of Chinese chipmaker SMIC declined on Monday as a result of this decision. Importantly, mainland Chinese stocks saw losses on the day.
Shares of famous chipmaker listed in Hong Kong dropped 3.88% on September 28, against a broader rise in the sector as the Hang Seng Tech index added 0.86% on the day to 6’978.59.
People should take into account that the reported move by the U.S. government would affect China’s plans to strengthen its domestic semiconductor industry.
As a reminder, shares of China Evergrande Group in Hong Kong fell on Friday. However, on September 28, shares of the real estate developer jumped 20.61%.
Stocks in Asia-Pacific on Monday
Stocks in the Asia Pacific were mixed on September 28. Interestingly, Hong Kong’s Hang Seng index added 1.04% to close at 23’476.05.
As mentioned above, mainland Chinese stocks dropped on Monday. The Shanghai Composite slightly fell to about 3’217.53. Meanwhile, the Shenzhen Component dropped 0’415% to around 12’760.93.
Based on the information provided by China’s National Bureau of Statistics, the country’s industrial profits rose 19.1% in August. Investors are closely monitoring the Chinese economic data as they want to learn more about the state of the local economy.
In Japan, the Nikkei 225 gained 1.32% to close at 23’511.62. At the same time, the Topix index advanced 1.69% to finish its trading day at 1’661.93.
South Korea’s Kospi index added 1.29% to close 2’308.08 with entertainment shares in the country rose following K-pop sensation BTS’ label Big Hit Entertainment priced its initial public offering (IPO) at the top end of the range.
Australia’s S&P/ASX 200 fell 0.21% to finish its trading day at 5’952.30.
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