China and Hong Kong stocks fall on caution during congress

China stocks fell on Wednesday, as investors were cautious amid uncertainties during the Communist Party congress, even as a raft of state-backed and large asset managers announced measures to stabilise the market. Hong Kong shares also snapped a two-day rally, while the city's leader delivered his first policy address.

China stocks fell on Wednesday, as investors were cautious amid uncertainties during the Communist Party congress, even as a raft of state-backed and large asset managers announced measures to stabilise the market.

Hong Kong shares also snapped a two-day rally, while the city's leader delivered his first policy address. ** China's blue-chip CSI 300 Index dipped 0.86%, while the Shanghai Composite Index edged down 0.51%.

** Hong Kong's Hang Seng Index dropped 1.18%, and the Hang Seng China Enterprises Index fell 1.46% ** Asian shares were mostly higher, with overnight U.S. corporate earnings aiding sentiment.

** At least 21 large onshore China asset managers including E Fund Management Co, Invesco Great Wall Fund Management, and Bank of Communications Schroder Fund Management said this week they were investing their own money to buy products in a bid to stabilize the confidence on China’s capital market, local media reported. ** Healthcare stocks and Food & Beverage names were among the biggest losers, declining 2.5% each.

** Hong Kong Chief Executive John Lee announced initiatives to attract talent and investment to the city in his inaugural policy address. ** Property stocks gained 0.4%, rising for a forth consecutive days, after Hong Kong announced to offer overseas professionals, who become permanent residents after living in the city for seven years, a rebate on the stamp duty paid on home purchased for non-residents.

** CITIC Securities expect Hong Kong stocks to rebound after the U.S. midterm elections on Nov. 8. ** "The current 2023 earnings growth forecast of Hang Seng Composite Index is 12.2%, much higher than S&P 500's 7.5%, and this is the first time Hong Kong stocks' earnings growth outpaces that of the U.S. stocks in nearly three years," CITIC securities wrote in a note earlier this week.

** Hong Kong-listed tech firms tumbled 2.6%.

(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)