Mixed Performance in Chinese and Hong Kong Stock Markets Amidst Rate Cut Hopes

On Thursday, China and Hong Kong stock markets experienced mixed performance. While property sectors drove gains, lackluster sub-indexes in oil and coal offset the optimism. Broader risk-off sentiment ahead of a probable U.S. rate cut added to the subdued market activity.

Chinese and Hong Kong stock markets displayed mixed performance on Thursday. While the property sector bolstered gains, lackluster performances in oil and coal sub-indexes dampened investor sentiment.

The Shanghai Composite index held steady at 2,785.38 points at midday, reflecting broader risk-off sentiment ahead of a likely U.S. rate cut. China's blue-chip CSI300 index edged up by 0.1%, driven by gains in financial, consumer staples, and healthcare sectors.

Notably, the real estate sub-index surged 1.71% following reports about potential rate reductions on outstanding mortgages. However, concerns over weakening oil demand dragged China- and Hong Kong-listed energy stocks lower, with the Hang Seng Mainland Oil & Gas Index plummeting over 3%. Amidst these fluctuations, the yuan strengthened by 0.17%, quoted at 7.1006 per U.S. dollar.

(With inputs from agencies.)