Hong Kong stocks experienced a decline following the release of weaker-than-expected HSBC manufacturing PMI data. The disappointing figures cast a shadow over the outlook for the Chinese economy, impacting investor sentiment in the region.

The Hang Seng Index reflected the negative sentiment, with significant declines observed across various sectors. Investors reacted to the data by reducing their exposure to Hong Kong equities.

Analysts suggest that the manufacturing PMI data indicates a potential slowdown in economic activity, prompting concerns about corporate earnings and overall market performance.

Market participants are closely monitoring further economic indicators and policy responses to assess the trajectory of the Chinese economy and its impact on Hong Kong’s financial markets.

Specific sectors particularly sensitive to Chinese economic performance, such as materials and industrials, experienced notable downward pressure.